Desert Southwest Region Transmission, Transmission Losses, Unreserved Use Penalties, and Ancillary Services-Rate Order No. WAPA-175, 58497-58510 [2016-20397]
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Federal Register / Vol. 81, No. 165 / Thursday, August 25, 2016 / Notices
withdrawal beyond the current
withdrawal expiration date. As part of
the withdrawal extension, the Air Force
proposes to continue military operations
on the NTTR’s existing 2,949,603 acres
of land. In addition to extending the
existing land withdrawal, the Air Force
is also proposing to withdraw up to an
additional 301,507 acres to improve the
range’s capacity to support military
testing and training.
The alternatives being evaluated in
the LEIS include: (1) Extending the
existing land withdrawal and
management of the NTTR (Status Quo);
(2) extending the existing land
withdrawal and providing the Air Force
with increased access for military
activities in the South Range of the
NTTR; (3) Alternative 1 or 2 and
expanding the existing withdrawal by
including up to 301,507 additional
acres, via three sub-alternatives; (4)
establishing the time period of the
withdrawal as either 20 years, 50 years,
or as an indefinite military withdrawal;
and (5) the No Action alternative which
includes returning NTTR lands to the
public domain, through the Department
of the Interior. The alternatives structure
allows for combining elements of
alternatives in an additive fashion. For
example, Alternative 2, could be
selected along with sub-alternatives of
Alternatives 3 (an option for expansion)
and 4 (option for duration) as part of the
Air Force’s recommendation to Congress
for the future military withdrawal.
Within the framework of these
alternatives, the LEIS will support
Congressional action by identifying and
evaluating potential impacts to land use,
airspace, safety, noise, hazardous
materials and solid waste, earth
resources, water resources, air quality,
transportation, wilderness and
wilderness study areas, cultural
resources, biological resources,
socioeconomics, and environmental
justice.
Henry Williams,
Acting Air Force Federal Register Officer.
[FR Doc. 2016–20401 Filed 8–24–16; 8:45 am]
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DEPARTMENT OF EDUCATION
[Docket No. ED–2016–ICCD–0068]
Agency Information Collection
Activities; Submission to the Office of
Management and Budget for Review
and Approval; Comment Request; Carl
D. Perkins Career and Technical
Education Improvement Act of 2006
(Pub. L. 109–270) State Plan Guide
Office of Career, Technical, and
Adult Education (OCTAE), Department
of Education (ED).
ACTION: Notice.
AGENCY:
In accordance with the
Paperwork Reduction Act of 1995 (44
U.S.C. chapter 3501 et seq.), ED is
proposing an extension of an existing
information collection.
DATES: Interested persons are invited to
submit comments on or before
September 26, 2016.
ADDRESSES: To access and review all the
documents related to the information
collection listed in this notice, please
use https://www.regulations.gov by
searching the Docket ID number ED–
2016–ICCD–0068. Comments submitted
in response to this notice should be
submitted electronically through the
Federal eRulemaking Portal at https://
www.regulations.gov by selecting the
Docket ID number or via postal mail,
commercial delivery, or hand delivery.
Please note that comments submitted by
fax or email and those submitted after
the comment period will not be
accepted. Written requests for
information or comments submitted by
postal mail or delivery should be
addressed to the Director of the
Information Collection Clearance
Division, U.S. Department of Education,
400 Maryland Avenue SW., LBJ, Room
2E–349, Washington, DC 20202–4537.
FOR FURTHER INFORMATION CONTACT: For
specific questions related to collection
activities, please contact Braden Goetz,
202–245–7405.
SUPPLEMENTARY INFORMATION: The
Department of Education (ED), in
accordance with the Paperwork
Reduction Act of 1995 (PRA) (44 U.S.C.
3506(c)(2)(A)), provides the general
public and Federal agencies with an
opportunity to comment on proposed,
revised, and continuing collections of
information. This helps the Department
assess the impact of its information
collection requirements and minimize
the public’s reporting burden. It also
helps the public understand the
Department’s information collection
requirements and provide the requested
data in the desired format. ED is
soliciting comments on the proposed
SUMMARY:
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58497
information collection request (ICR) that
is described below. The Department of
Education is especially interested in
public comment addressing the
following issues: (1) Is this collection
necessary to the proper functions of the
Department; (2) will this information be
processed and used in a timely manner;
(3) is the estimate of burden accurate;
(4) how might the Department enhance
the quality, utility, and clarity of the
information to be collected; and (5) how
might the Department minimize the
burden of this collection on the
respondents, including through the use
of information technology. Please note
that written comments received in
response to this notice will be
considered public records.
Title of Collection: Carl D. Perkins
Career and Technical Education
Improvement Act of 2006 (P.L. 109–270)
State Plan Guide.
OMB Control Number: 1830–0029.
Type of Review: An extension of an
existing information collection.
Respondents/Affected Public: State,
Local, and Tribal Governments.
Total Estimated Number of Annual
Responses: 56.
Total Estimated Number of Annual
Burden Hours: 2,240.
Abstract: This information collection
solicits from all eligible States and
outlying areas the State plans required
under Title I of the Carl D. Perkins
Career and Technical Education Act of
2006 (Perkins IV) (P.L. 109–270), as well
as, for those States and outlying areas
that fail to meet 90 percent of their
performance levels for an indicator for
three consecutive years, periodic reports
on their progress in implementing the
improvement plans required by section
123(a)(1) of Perkins IV.
Dated: August 22, 2016.
Tomakie Washington,
Acting Director, Information Collection
Clearance Division, Office of the Chief Privacy
Officer, Office of Management.
[FR Doc. 2016–20370 Filed 8–24–16; 8:45 am]
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DEPARTMENT OF ENERGY
Western Area Power Administration
Desert Southwest Region
Transmission, Transmission Losses,
Unreserved Use Penalties, and
Ancillary Services—Rate Order No.
WAPA–175
Western Area Power
Administration, DOE.
ACTION: Notice of Final Formula Rates
for Transmission and Ancillary
Services.
AGENCY:
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Federal Register / Vol. 81, No. 165 / Thursday, August 25, 2016 / Notices
The Deputy Secretary of
Energy has confirmed and approved
Rate Order No. WAPA–175 and Rate
Schedules PD–NTS4 and INT–NTS4,
placing formula rates for Network
Integration Transmission Service
(Network) on the Parker-Davis Project
(P–DP) and Pacific Northwest-Pacific
Southwest Intertie Project (Intertie) of
the Western Area Power Administration
(WAPA) into effect on an interim basis.
The Deputy Secretary also confirmed
and approved Rate Schedules DSW–
TL1, DSW–UU1, DSW–SD4, DSW–RS4,
DSW–FR4, DSW–EI4, DSW–SPR4,
DSW–SUR4, and DSW–GI2, placing
formula rates for transmission losses,
unreserved use penalties, and ancillary
services from WAPA’s Desert Southwest
Region (DSW) and Western Area Lower
Colorado Balancing Authority (WALC)
into effect on an interim basis. The
provisional formula rates will provide
sufficient revenue to pay all annual
costs, including interest expense, and
repay applicable investments within the
allowable periods.
SUMMARY:
Rate Schedules PD–NTS4, INT–
NTS4, DSW–TL1, DSW–UU1, DSW–
SD4, DSW–RS4, DSW–FR4, DSW–EI4,
DSW–SPR4, DSW–SUR4, and DSW–GI2
are effective on the first day of the first
full billing period beginning on or after
October 1, 2016, and will remain in
effect through September 30, 2021,
pending approval by the Federal Energy
Regulatory Commission (FERC) on a
final basis or until superseded.
DATES:
Mr.
Ronald E. Moulton, Regional Manager,
Desert Southwest Region, Western Area
Power Administration, P.O. Box 6457,
Phoenix, AZ 85005–6457, (602) 605–
2453, or Mr. Scott Lund, Rates Manager,
Desert Southwest Region, Western Area
Power Administration, P.O. Box 6457,
Phoenix, AZ 85005–6457, (602) 605–
2442, email slund@wapa.gov.
FOR FURTHER INFORMATION CONTACT:
WAPA’s
DSW published a Federal Register
notice on February 3, 2016 (81 FR 5741),
announcing the proposed formula rates,
initiating a public consultation and
comment period, and setting forth the
date and location of public information
and comment forums. On February 4,
2016, customers and interested parties
were provided a copy of the published
notice. WAPA’s DSW held both forums
in Phoenix, Arizona, on March 30, 2016.
The previous Rate Schedules PD–
NTS3, INT–NTS3, DSW–SD3, DSW–
RS3, DSW–FR3, DSW–EI3, DSW–SPR3,
DSW–SUR3, and DSW–GI1 for Rate
Order No. WAPA–151 were approved
by FERC for a 5-year period through
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SUPPLEMENTARY INFORMATION:
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September 30, 2016.1 Several of these
rate schedules contain formula rates that
were calculated each year to include the
most recent financial, load, and
schedule information, as applicable.
The new rate schedules continue this
approach.
Transmission Services
Rate Schedules PD–NTS4 and INT–
NTS4 for Network on the P–DP and
Intertie are based on a revenue
requirement that recovers the costs for
providing transmission service. This
includes the costs for scheduling,
system control, and dispatch service
needed to provide the transmission
service.
Rate Schedule DSW–TL1 for
Transmission Losses is a new rate
schedule that provides for the recovery
of losses associated with transmission
service. Previously, losses were
addressed in the transmission service
rate schedules for each project
administered by WAPA’s DSW.
Rate Schedule DSW–UU1 for
Unreserved Use Penalties is also a new
rate schedule that provides for a
penalty, in addition to the usual charge
for transmission service, for the use of
transmission capacity that has not been
reserved or has been used in excess of
the amount reserved. Previously,
penalty provisions for unauthorized use
were included in the transmission
service rate schedules for each project
administered by WAPA’s DSW.
Ancillary Services
DSW provides seven ancillary
services pursuant to WAPA’s Open
Access Transmission Tariff (OATT).
These services include: (1) Scheduling,
System Control, and Dispatch (DSW–
SD4); (2) Reactive Supply and Voltage
Control (DSW–RS4); (3) Regulation and
Frequency Response (DSW–FR4); (4)
Energy Imbalance (DSW–EI4); (5)
Spinning Reserve (DSW–SPR4); (6)
Supplemental Reserve (DSW–SUR4),
and (7) Generator Imbalance (DSW–
GI2).
Changes were made to the formula
rates for Regulation and Frequency
Response, Energy Imbalance, and
Generator Imbalance. The formula rate
for Regulation and Frequency Response
now includes the application of variable
capacity multipliers to the installed
capacity of variable energy resources.
The formula rates for Energy Imbalance
and Generator Imbalance now have the
same bandwidth structure for on-peak
and off-peak hours. No changes were
1 Rate Order No. WAPA–151 was approved by
FERC on a final basis on March 5, 2012, in Docket
No. EF11–14–000 (138 FERC ¶ 62,198).
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made to the formula rates for the other
ancillary services. Minor editorial
changes were made to rate schedule
language to provide clarification and
make them more uniform and
consistent.
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
the Administrator of WAPA; (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. Federal rules (10 CFR part 903)
govern Department of Energy
procedures for public participation in
power and transmission rate
adjustments.
Under Delegation Order Nos. 00–
037.00A and 00–001.00F and in
compliance with 10 CFR part 903 and
18 CFR part 300, I hereby confirm,
approve, and place Rate Order No.
WAPA–175, which provides the
formula rates for DSW transmission,
transmission losses, unreserved use
penalties, and ancillary services into
effect on an interim basis. The new Rate
Schedules PD–NTS4, INT–NTS4, DSW–
TL1, DSW–UU1, DSW–SD4, DSW–RS4,
DSW–FR4, DSW–EI4, DSW–SPR4,
DSW–SUR4, and DSW–GI2 will be
submitted promptly to FERC for
confirmation and approval on a final
basis.
Dated: August 18, 2016.
Elizabeth Sherwood-Randall,
Deputy Secretary of Energy.
DEPARTMENT OF ENERGY
DEPUTY SECRETARY
In the matter of: Western Area Power
Administration, Desert Southwest Region,
Rate Adjustment for Transmission Service,
Transmission Losses, Unreserved Use
Penalties, and Ancillary Services.
Rate Order No. WAPA–175
ORDER CONFIRMING, APPROVING,
AND PLACING FORMULA RATES
FOR TRANSMISSION SERVICE,
TRANSMISSION LOSSES,
UNRESERVED USE PENALTIES, AND
ANCILLARY SERVICES INTO EFFECT
ON AN INTERIM BASIS
The formula rates set forth in this
order are established pursuant to
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
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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 projects
involved.
By Delegation Order No. 00-037.00A,
effective October 25, 2013, the Secretary
Balancing Authority (BA) ......................
Balancing Authority (BA) Area .............
DOE ......................................................
DSW .....................................................
FERC ....................................................
Kilowatt (kW) ........................................
Megawatt (MW) ....................................
Network ................................................
OATT ....................................................
Open Access Same-Time Informaton
System (OASIS).
Transmission Service Provider (TSP) ..
VAR ......................................................
VER ......................................................
WALC ...................................................
WAPA ...................................................
The provisional formula rates are
effective on the first day of the first full
billing period beginning on or after
October 1, 2016, and will remain in
effect through September 30, 2021,
pending approval by FERC on a final
basis or until superseded.
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Public Notice and Comment
WAPA followed the Procedures for
Public Participation in Power and
Transmission Rate Adjustments and
Extensions, 10 CFR part 903, in
developing these formula rates and
schedules. WAPA took the following
steps to involve the public in the rate
adjustment process:
1. On July 2, 2015, WAPA notified
DSW customers and interested parties
by email of an informal meeting and
posted this notice on its public website.
On August 10, 2015, WAPA held an
informal meeting to discuss DSW’s rate
proposals for transmission and ancillary
services.
2. WAPA published a Federal
Register notice on February 3, 2016 (81
FR 5741), announcing the proposed
formula rates, initiating the 90-day
public consultation and comment
period, setting forth the date and
location of public information and
public comment forums, and outlining
the procedures for public participation.
3. On February 4, 2016, WAPA sent
DSW customers and interested parties a
copy of the notice.
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the Federal Energy Regulatory
Commission (FERC). Federal rules (10
CFR part 903) govern DOE procedures
for public participation in power and
transmission rate adjustments.
Acronyms and Definitions
As used in this Rate Order, the
following acronyms and definitions
apply:
The responsible entity that integrates resource plans ahead of time, maintains load-interchange-generation balance within a Balancing Authority Area, and supports interconnection frequency in real-time.
The collection of generation, transmission, and loads within the metered boundaries of the Balancing
Authority.
United States Department of Energy.
Desert Southwest Region.
Federal Energy Regulatory Commission.
Electrical unit of capacity equal to 1,000 watts.
Electrical unit of capacity equal to 1,000 kW or 1,000,000 watts.
Network Integration Transmission Service.
WAPA’s revised Open Access Transmission Tariff, effective May 13, 2013.
An electronic posting system that a service provider maintains for transmission access data that allows
users to view information simultaneously.
Any utility that owns, operates, or controls facilities used to transmit electric energy.
Volt-Ampere Reactive, a unit by which reactive power is expressed.
Variable energy resources.
Western Area Lower Colorado Balancing Authority.
Western Area Power Administration.
Effective Date
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of Energy delegated: (1) the authority to
develop power and transmission rates to
the Administrator of the Western Area
Power Administration (WAPA); (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
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4. On March 30, 2016, WAPA held a
public information forum in Phoenix,
Arizona. WAPA’s DSW representatives
explained the need for the formula rate
adjustment and proposed changes to the
formula rates, answered questions, and
provided presentation handouts.
5. On March 30, 2016, following the
public information forum, WAPA held a
public comment forum in Phoenix,
Arizona, to provide customers and
interested parties an opportunity to
comment for the record.
6. WAPA established a public website
to post information about this rate
adjustment. The website is located at
https://www.wapa.gov/regions/DSW/
Rates/Pages/ancillary-rates.aspx.
Comments
No oral comments were made at the
public comment forum. WAPA received
one written comment during the
consultation and comment period. A
written comment was received from
Arizona Generation and Transmission
Cooperatives, Benson, Arizona. The
comment has been considered in
preparing this Rate Order
Project Descriptions
WAPA’s DSW provides ancillary
services through WALC, which
encompasses the projects within its
marketing area—Boulder Canyon Project
(BCP), Parker-Davis Project (P–DP),
Central Arizona Project (CAP), and the
Pacific Northwest-Pacific Southwest
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Intertie Project (Intertie). Network is
offered on the P–DP, CAP, and Intertie.
BCP
Hoover Dam, authorized by the
Boulder Canyon Project Act (45 Stat.
1057, December 21, 1928), sits on the
Colorado River along the ArizonaNevada border. Hoover Dam’s power
plant has 19 generating units (two for
plant use) and an installed capacity of
2,078,800 kW (4,800 kW for plant use).
High-voltage transmission lines and
substations make it possible to deliver
this power to southern Nevada, Arizona,
and southern California.
P–DP
P–DP was formed by consolidating
two projects, Davis Dam and Parker
Dam, under terms of the Act of May 28,
1954 (68 Stat. 143). Davis Dam’s power
plant has five generating units and an
installed capacity of 255,000 kW. Parker
Dam’s power plant has four generating
units and an installed capacity of
120,000 kW. P–DP is operated in
conjunction with the other Federal
hydroelectric generation facilities in the
Colorado River Basin. The project also
includes 1,535 circuit miles of
transmission lines in Arizona, southern
Nevada, and along the Colorado River in
California.
CAP
Congress authorized CAP in 1968 to
improve water resources in the Colorado
River Basin (43 U.S.C. 1501). The
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Intertie consists of two parts, a northern
portion and a southern portion. The
northern portion is administered by
WAPA’s Sierra Nevada Region. The
southern portion is administered by
WAPA’s DSW and consists of 865
circuit miles of extra high-voltage and
108 circuit miles of high-voltage
transmission lines in Arizona, southern
Nevada, and southern California.
SUR3, and DSW–GI1 expire on
September 30, 2016. Several of these
rate schedules contain formula rates that
are calculated each fiscal year to include
the most recent financial, load, and
schedule information, as applicable.
The new rate schedules continue with
this approach.
Intertie
Existing and Provisional Formula Rates
Intertie was authorized by Section 8
of the Pacific Northwest Power
Marketing Act of August 31, 1964 (16
U.S.C. 837g). WAPA’s portion of the
The existing formula rates contained
in Rate Schedules PD–NTS3, INT–
NTS3, DSW–SD3, DSW–RS3, DSW–
FR3, DSW–EI3, DSW–SPR3, DSW–
The existing formula rates for
Network on the P–DP and Intertie under
Rate Schedules PD–NTS3 and INT–
NTS3, respectively, are the following:
The provisional formula rates for
Network on the P–DP and Intertie under
Rate Schedules PD–NTS4 and INT–
NTS4 remain the same without
adjustment.
existing losses provisions in the
separate transmission rate schedules for
each project. The current loss
percentages and their application
remain unchanged.
Transmission Losses
Unreserved Use Penalties
Scheduling, System Control, and
Dispatch
Rate Schedule DSW–TL1 is a new
schedule that consolidates the
provisions for transmission losses. This
rate schedule will supersede the
Rate Schedule DSW–UU1 is a new
schedule that unifies and consolidates
the penalty provisions for unreserved
use. This rate schedule will supersede
The existing formula rate for this
service under Rate Schedule DSW–SD3
is the following:
The provisional formula rate for this
service under Rate Schedule DSW–SD4
remains the same without adjustment.
Reactive Supply and Voltage Control
The provisional formula rate for this
service under Rate Schedule DSW–RS4
remains the same without adjustment.
Regulation and Frequency Response
Network
the existing unauthorized or unreserved
use provisions in the separate
transmission rate schedules for each
project.
The existing formula rate for this
service under Rate Schedule DSW–RS3
is the following:
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The existing formula rate for this
service under Rate Schedule DSW–FR3
is the following:
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legislation also authorized Federal
participation in the Navajo Generating
Station, which has three coal-fired
steam electric generating units with a
combined capacity of 2,250,000 kW.
The 24.3 percent Federal share (546,750
kW) of the Navajo Generating Station is
used to power the pumps that move
Colorado River water through the CAP
canals.
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58501
Energy Imbalance
The existing formula rate for this
service under Rate Schedule DSW–EI3
is the following:
Deviation bands
Settlements
On-Peak Hours
Deviations less than or equal to ±1.5% (with a 4 MW minimum) of metered load.
Deviations greater than ±1.5% up to 7.5% (or greater than 4 MW to 10
MW) of metered load.
Deviations greater than ±7.5% (or 10 MW) of metered load .................
100% (no penalty).
90% for over-deliveries and 110% for under-deliveries (10% penalty).
75% for over-deliveries and 125% for under-deliveries (25% penalty).
Off-Peak Hours
Deviations less than or equal to +7.5% (with a 2 MW minimum) of metered load.
Deviations less than or equal to ¥3.0% (with a 5 MW minimum) of
metered load.
60% for over-delivery (40% penalty).
110% for under-delivery (10% penalty).
The provisional formula rate for this
service under Rate Schedule DSW–EI4
is the following
Deviation bands
Settlements
On-Peak Hours
No Changes ............................................................................................
No Changes.
Deviations less than or equal to ±1.5% (with a 4 MW minimum) of metered load.
Deviations greater than ±1.5% up to 7.5% (or greater than 4 MW to 10
MW) of metered load.
Deviations greater than ±7.5% (or 10 MW) of metered load .................
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100% (no penalty).
75% for over-deliveries (25% penalty), 110% for under-deliveries
(10% penalty).
60% for over-deliveries (40% penalty), 125% for under-deliveries
(25% penalty).
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Off-Peak Hours
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Operating Reserves—Spinning and
Supplemental
The existing formula rates for these
services under Rate Schedules DSW–
SPR3 and DSW–SUR3 are the following:
The provisional formula rates for
these services under Rate Schedules
DSW–SPR4 and DSW–SUR4 remain the
same without adjustment.
Generator Imbalance
The existing formula rate for this
service under Rate Schedule DSW–GI1
is the following:
Deviation bands
Settlements
On-Peak Hours
Deviations less than or equal to ±1.5% (with a 4 MW minimum) of metered generation.
Deviations greater than ±1.5% up to 7.5% (or greater than 4 MW to 10
MW) of metered generation.
Deviations greater than ±7.5% (or 10 MW) of metered generation .......
100% (no penalty).
90% for over-deliveries and 110%, for under-deliveries (10% penalty).
75% for over-deliveries and 125%, for under-deliveries (25% penalty).
Off-Peak Hours
Deviations less than or equal to +7.5% (with a 2 MW minimum) of metered generation.
Deviations less than or equal to ¥3.0% (with a 5 MW minimum) of
metered generation.
60% for over-delivery (40% penalty).
110% for under-delivery (10% penalty).
The provisional formula rate for this
service under Rate Schedule DSW–GI2
is the following:
Deviation bands
Settlements
On-Peak Hours
No Changes ............................................................................................
No Changes.
Off-Peak Hours
100% (no penalty).
75% for over-deliveries (25% penalty), 110% for under-deliveries
(10% penalty).
60% for over-deliveries (40% penalty), 125% for under-deliveries
(25% penalty).
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Certification of Rates
Transmission Services Discussion
WAPA’s Administrator certified that
the provisional formula rates for
Network, transmission losses,
unreserved use penalties, and ancillary
services under Rate Schedules PD–
NTS4, INT–NTS4, DSW–TL1, DSW–
UU1, DSW–SD4, DSW–RS4, DSW–FR4,
DSW–EI4, DSW–SPR4, DSW–SUR4, and
DSW–GI2 result in the lowest possible
rates consistent with sound business
principles. The provisional formula
rates were developed following
administrative policies and applicable
laws.
Network
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DSW offers Network to eligible
customers, subject to the provisions in
WAPA’s OATT, from the P–DP, Intertie,
and CAP transmission systems. This
service includes the transmission of
energy to points of delivery on the P–
DP, Intertie, and CAP interconnected
high-voltage systems, which includes
transmission lines, substations,
communication equipment and related
facilities. The provisional formula rates
only apply to Network from the P–DP
and Intertie transmission systems. The
formula rate for Network from the CAP
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transmission system was approved
under Rate Order No. WAPA–172 and
became effective on January 1, 2016.2
The formula rate for Network from CAP
is identical to the provisional formula
rates for P–DP and Intertie.
The monthly charge for Network is
the product of the customer’s load-ratio
share and one-twelfth (1⁄12) of the
annual revenue requirement for the
appropriate transmission system. The
load-ratio share is equal to the
customer’s hourly load coincident with
2 Rate Order No. WAPA–172 was approved by the
Deputy Secretary of Energy on December 21, 2015,
(80 FR 81310, December 29, 2015) and filed with
FERC.
E:\FR\FM\25AUN1.SGM
25AUN1
EN25AU16.037</GPH>
Deviations less than or equal to ±1.5%, (with a 4 MW minimum) of
metered generation.
Deviations greater than ±1.5% up to 7.5% (or greater than 4 MW to 10
MW) of metered generation.
Deviations greater than ±7.5% (or 10 MW) of metered generation .......
Federal Register / Vol. 81, No. 165 / Thursday, August 25, 2016 / Notices
the monthly transmission system peak
hour. The monthly transmission system
peak hour occurs when the metered
load for all network service customers is
the greatest. The metered load and the
transmission system load at the peak
hour are averaged on a rolling 12-month
basis (12–CP). No changes were made to
the formula rates for Network.
asabaliauskas on DSK3SPTVN1PROD with NOTICES
Transmission Losses
WALC provides transmission losses to
TSPs within its BA Area. Capacity and
energy losses occur when a TSP delivers
electricity over its transmission facilities
for a customer. Losses are assessed for
transactions on transmission facilities
within WALC.
A single loss percentage for WALC
was developed in 2004 and applied to
the P–DP, Intertie, and CAP
transmission systems. The loss
provisions contained in the
transmission service rate schedules for
each project have been consolidated
into a new single rate schedule. No
changes were made to the existing loss
percentage or application. The
transmission loss percentage currently
in effect is posted on WALC’s OASIS.
Unreserved Use Penalties
Unreserved use occurs when a
customer uses transmission service it
has not reserved or uses transmission
service in excess of its reserved
capacity. Unreserved use may also
include a customer’s failure to curtail
transmission when requested.
The penalty provisions for unreserved
use in the transmission service rate
schedules for each project have been
unified and consolidated into a new
single rate schedule. The penalty for a
customer that engages in unreserved use
is two times the maximum allowable
firm point-to-point transmission rate for
the service at issue, assessed as follows:
(1) The penalty for one instance in a
single hour is based on the daily shortterm rate;
(2) The penalty for more than one
instance for any given duration (e.g.,
daily) increases to the next longest
duration (e.g., weekly).
A transmission customer is also
required to pay for all ancillary services
provided and associated with the
unreserved use. The customer must pay
for ancillary services based on the
amount of transmission service it used
and did not reserve.
Ancillary Services Discussion
In accordance with WAPA’s OATT,
ancillary services are needed with
transmission service to maintain
reliability inside and among the BA
Areas affected by the transmission
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service. WAPA’s DSW currently
provides seven ancillary services under
the OATT: (1) Scheduling, System
Control and Dispatch; (2) Reactive
Supply and Voltage Control; (3)
Regulation and Frequency Response; (4)
Energy Imbalance; (5) Spinning Reserve;
(6) Supplemental Reserve; and (7)
Generator Imbalance. The provisional
formula rates for these services are
designed to recover the costs incurred
for providing each of the services.
The first two ancillary services are
defined by FERC as services that the
TSP is required to provide directly, or
indirectly by making arrangements with
the BA, and the transmission customer
is required to purchase. The remaining
five ancillary services are services that
the TSP (or the BA who performs the
function for the TSP) must offer when
transmission is used to serve load
within the TSP’s BA. The transmission
customer must purchase these ancillary
services from the TSP, acquire the
services from a third party, or selfsupply the services.
Scheduling, System Control, and
Dispatch
This service is required to schedule
the movement of power through, out of,
within, or into a BA Area and must be
provided by the BA in which the
facilities used for transmission are
located. WALC will provide this service
for all transmission customers within its
BA Area.
The charge per schedule per day is
calculated by dividing the annual costs
associated with scheduling (numerator)
by the number of schedules per year
(denominator). The numerator includes
the costs of transmission scheduling
personnel, facilities, equipment,
software, and other related costs
involved in providing the service. The
denominator is the yearly total of daily
tags that result in a schedule, excluding
schedules that return energy in kind. No
changes were made to this formula rate.
Reactive Supply and Voltage Control
This service is required to maintain
transmission voltages on DSW’s
transmission facilities within acceptable
limits, using generation facilities and
non-generation resources capable of
producing (or absorbing) reactive power.
This service must be provided for each
transaction on the transmission facilities
within the BA by the TSP (or the BA
who performs this function for the TSP).
WALC will perform this service for
DSW’s transmission system within its
BA Area.
The rate is calculated by dividing the
annual revenue requirement for the
service (numerator) by the transactions
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Sfmt 4703
58503
requiring the service (denominator). The
numerator consists of the annual
revenue requirement for generation
multiplied by the percentage of resource
capacity used for providing the service.
That percentage is based on the
nameplate power factor (one minus the
power factor) for the generating units
supplying service within WALC. The
denominator consists of the
transmission capacity of customers
taking this service. No changes were
made to this formula rate.
Regulation and Frequency Response
This service is necessary to provide
for the continuous balancing of
resources, generation and interchange
with load, as well as for maintaining
scheduled interconnection frequency at
sixty cycles per second. The obligation
to maintain this balance between
resources and load lies with the TSP (or
the BA who performs this function for
the TSP). DSW (via WALC) must offer
this service when transmission is used
to serve load within its BA Area.
The rate is calculated by dividing the
annual revenue requirement for the
service (numerator) by the sum of the
load within WALC that requires the
service and the generating capacity
associated with variable energy
resources (denominator). The numerator
includes the annual costs associated
with plant-in-service, operation and
maintenance, purchases of regulation
products, purchases of power to support
WALC’s ability to regulate, and other
related costs involved in providing the
service. The denominator consists of the
load within WALC that requires this
service plus the product of the installed
nameplate capacity of solar and wind
generators serving load within WALC
and the applicable capacity multipliers.
The denominator has been changed to
include the application of capacity
multipliers. Although variable energy
resources have not yet impacted WALC,
including the multipliers will allow the
formula rate to more accurately recover
potential future costs from customers by
following cost causation principles.
WAPA’s DSW will set the multipliers at
a value of one until variable energy
resources begin to adversely impact
WALC’s regulation needs.
Energy Imbalance
This service is provided when
differences occur between the
scheduled and the actual delivery of
energy to a load located within the BA
Area over a single hour. DSW (via
WALC) must offer this service when
transmission is used to serve load
within its BA Area.
E:\FR\FM\25AUN1.SGM
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58504
Federal Register / Vol. 81, No. 165 / Thursday, August 25, 2016 / Notices
The charges for this service are based
on a graduated bandwidth structure.
The size of the deviation and whether
the deviation occurs in on-peak or offpeak hours determines settlement. No
changes were made to the deviation
bands and settlements for on-peak
hours. The bandwidth structure for offpeak hours was changed to consist of
three deviation bands, similar to the onpeak structure. This aligns with FERC
Order 890 guidelines with appropriate
penalty adjustments for WALC
operating conditions.
Spinning Reserve
This service is needed to serve load
immediately in the event of a system
contingency and may be provided by
generating units that are on-line and
loaded at less than maximum output.
DSW (via WALC) must offer this service
when transmission is used to serve load
within its BA Area.
WALC has no resources available to
provide this service. DSW may obtain
the service on a pass-through cost basis
at market price plus an administrative
fee. No changes were made to this
formula rate.
asabaliauskas on DSK3SPTVN1PROD with NOTICES
Supplemental Reserve
This service is needed to serve load in
the event of a system contingency. It is
not available immediately to serve load
but is generally available within a short
period of time after a system
contingency event. DSW (via WALC)
must offer this service when
transmission is used to serve load
within its BA Area.
WALC has no resources available to
provide this service. DSW may obtain
the service on a pass-through cost basis
at market price plus an administrative
fee. No changes were made to this
formula rate.
Generator Imbalance
This service is provided when
differences occur between the output of
a generator located within the BA Area
and a delivery schedule from that
generator to another BA Area or a load
within the TSP’s BA Area over a single
hour. DSW (via WALC) must offer this
service, to the extent it is physically
feasible to do so from its resources or
from resources available to it, when
transmission is used to deliver energy
from a generator located within its BA
Area.
The charges for this service are based
on a graduated bandwidth structure.
The size of the deviation and whether
the deviation occurs in on-peak or offpeak hours determines settlement. No
changes were made to the deviation
bands and settlements for on-peak
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hours. The bandwidth structure for offpeak hours was changed to consist of
three deviation bands, similar to the onpeak structure. This aligns with FERC
Order 890 guidelines with appropriate
penalty adjustments for WALC
operating conditions.
Comments
WAPA’s DSW received one comment
during the public consultation and
comment period. The comment has
been paraphrased where appropriate,
without compromising the meaning of
the comment.
Comment: Customer supports the
rates as developed but requests that
WAPA clarify the obligation to update
service agreements in line with the
terms of WAPA’s OATT. The customer
also asks that WAPA clarify that the
new rates and changes to underlying
rate formulas constitute a change in
formula, indicate to the Deputy
Secretary what changes are required to
the applicable service agreements, and
notify WAPA’s customers when the
Deputy Secretary approves the rates on
an interim basis.
Response: Although WAPA believes
its process is sufficiently clear, WAPA
will consider clarifying the manner in
which it updates service agreements as
currently set forth in WAPA’s OATT.
However, review of WAPA’s OATT
language is outside the scope of this rate
adjustment process. WAPA identifies in
the Federal Register notice the new rate
schedules and the changes that were
made to the formula rates for ancillary
services. WAPA will notify DSW
customers when the Deputy Secretary
approves the formula rates on an
interim basis.
Availability of Information
All brochures, studies, comments,
letters, memorandums and other
documents used by WAPA’s DSW to
develop the provisional formula rates
are available for inspection and copying
at the Desert Southwest Regional Office,
Western Area Power Administration,
615 South 43rd Avenue, Phoenix,
Arizona. Many of these documents are
available on WAPA’s DSW website at:
https://www.wapa.gov/regions/DSW/
Rates/Pages/ancillary-rates.aspx.
RATEMAKING PROCEDURE
REQUIREMENTS
Environmental Compliance
In compliance with the National
Environmental Policy Act (NEPA) of
1969, 42 U.S.C. 4321–4347; the Council
on Environmental Quality Regulations
for implementing NEPA (40 CFR parts
1500–1508); and DOE NEPA
Implementing Procedures and
PO 00000
Frm 00037
Fmt 4703
Sfmt 4703
Guidelines (10 CFR part 1021), WAPA
has determined that this action is
categorically excluded from preparing
an environmental assessment or an
environmental impact statement.
Determination Under Executive Order
12866
WAPA has an exemption from
centralized regulatory review under
Executive Order 12866; accordingly, no
clearance of this notice by the Office of
Management and Budget is required.
Submission to the FERC
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, the formula
rates under Rate Schedules PD–NTS4,
INT–NTS4, DSW–TL1, DSW–UU1,
DSW–SD4, DSW–RS4, DSW–FR4,
DSW–EI4, DSW–SPR4, DSW–SUR4, and
DSW–GI2. These rate schedules are
effective the first full billing period on
or after October 1, 2016, and will remain
in effect through September 30, 2021,
pending FERC’s confirmation and
approval of them or substitute formula
rates on a final basis.
Dated: August 18, 2016.
Elizabeth Sherwood-Randall,
Deputy Secretary of Energy.
Rate Schedule PDP–NTS4
ATTACHMENT H to Tariff
(Supersedes Schedule PDP–NTS3)
UNITED STATES DEPARTMENT OF
ENERGY
WESTERN AREA POWER
ADMINISTRATION
DESERT SOUTHWEST REGION
Parker-Davis Project
NETWORK INTEGRATION
TRANSMISSION SERVICE
Effective
The first day of the first full billing
period beginning on or after October 1,
2016, and will remain in effect through
September 30, 2021, or until
superseded.
Applicable
Transmission customers will
compensate the Parker-Davis Project
each month for Network Integration
Transmission Service (Network) under
the applicable Network Agreement and
the formula rate described herein.
E:\FR\FM\25AUN1.SGM
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Federal Register / Vol. 81, No. 165 / Thursday, August 25, 2016 / Notices
58505
Formula Rate
Based on the formula rate, the Annual
Transmission Revenue Requirement
(ATRR) will be calculated for each fiscal
year using updated financial data. The
ATRR will be effective on October 1st of
each year and posted on Western Area
Lower Colorado Balancing Authority’s
website.
Rate Schedule INT–NTS4
ATTACHMENT H to Tariff
(Supersedes Schedule INT–NTS3)
UNITED STATES DEPARTMENT OF
ENERGY
WESTERN AREA POWER
ADMINISTRATION
DESERT SOUTHWEST REGION
Pacific Northwest-Pacific Southwest
Intertie Project
NETWORK INTEGRATION
TRANSMISSION SERVICE
2016, and will remain in effect through
September 30, 2021, or until
superseded.
Applicable
Transmission customers will
compensate the Pacific NorthwestPacific Southwest Intertie Project each
month for Network Integration
Transmission Service (Network) under
the applicable Network Agreement and
the formula rate described herein.
Formula Rate
Effective
The first day of the first full billing
period beginning on or after October 1,
UNITED STATES DEPARTMENT OF
ENERGY
WESTERN AREA POWER
ADMINISTRATION
DESERT SOUTHWEST REGION
Western Area Lower Colorado
Balancing Authority
Formula Rate
TRANSMISSION LOSSES SERVICE
asabaliauskas on DSK3SPTVN1PROD with NOTICES
Effective
The first day of the first full billing
period beginning on or after October 1,
2016, and will remain in effect through
September 30, 2021, or until
superseded.
Applicable
Capacity and energy losses occur
when a Transmission Service Provider
(TSP) delivers electricity over its
transmission facilities for a transmission
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Jkt 238001
The loss percentage currently in effect
is posted on WALC’s website and may
be changed from time to time. Financial
settlement for losses will occur on a
monthly basis, unless determined by
WALC. Proxy prices used to determine
financial settlement will be derived
from the Palo Verde electricity price
indexes, or similar alternative, for onpeak and off-peak. This pricing
information is posted on WALC’s
website.
PO 00000
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Rate Schedule DSW–UU1
SCHEDULE 10 to OATT
UNITED STATES DEPARTMENT OF
ENERGY
WESTERN AREA POWER
ADMINISTRATION
DESERT SOUTHWEST REGION
Central Arizona Project
Pacific Northwest-Pacific Southwest
Intertie Project
Parker-Davis Project
UNRESERVED USE PENALTIES
Effective
The first day of the first full billing
period beginning on or after October 1,
2016, and will remain in effect through
September 30, 2021, or until
superseded.
Applicable
Unreserved use occurs when a
customer uses transmission service it
has not reserved or uses transmission
service in excess of its reserved
capacity. Unreserved use may also
include a transmission customer’s
failure to curtail transmission when
requested. The transmission customer
shall compensate the Federal
E:\FR\FM\25AUN1.SGM
25AUN1
EN25AU16.033</GPH>
Rate Schedule DSW–TL1
customer. The Western Area Lower
Colorado Balancing Authority (WALC)
provides this service to TSPs within its
Balancing Authority Area. Transmission
losses (losses) are assessed for
transactions on transmission facilities
within WALC, unless separate
agreements specify the terms for losses.
The losses applicable to Federal TSPs
will be passed directly to transmission
customers. The transmission customer
must either purchase this service from
WALC or make alternative comparable
arrangements to satisfy their obligations
for losses.
EN25AU16.032</GPH>
Based on the formula rate, the Annual
Transmission Revenue Requirement
(ATRR) will be calculated for each fiscal
year using updated financial data. The
ATRR will be effective on October 1st of
each year and posted on Western Area
Lower Colorado Balancing Authority’s
website.
Federal Register / Vol. 81, No. 165 / Thursday, August 25, 2016 / Notices
Rate Schedule DSW–SD4
Transmission Service Providers (TSP)
each month for any unreserved use of
the transmission system.
SCHEDULE 1 to OATT
(Supersedes Schedule DSW–SD3)
Penalty Rate
The charge for a transmission
customer that engages in unreserved use
is two times the maximum allowable
firm point-to-point transmission rate for
the service at issue, assessed as follows:
(1) The penalty for one instance in a
single hour is based on the daily rate;
(2) The penalty for more than one
instance for any given duration (e.g.,
daily) increases to the next longest
duration (e.g., weekly).
A transmission customer that exceeds
its reserved capacity at any point of
receipt or point of delivery, or a
customer that uses transmission service
at a point of receipt or point of delivery
that it has not reserved, is required to
pay for all ancillary services provided
by the Federal TSP and associated with
the unreserved use. The customer will
pay for ancillary services based on the
amount of transmission service it used
and did not reserve.
The charge per schedule per day is
calculated by dividing the annual costs
associated with scheduling (numerator)
by the number of schedules per year
(denominator). The numerator is the
annual cost of transmission scheduling
personnel, facilities, equipment,
software, and other related costs
involved in providing the service. The
denominator is the yearly total of daily
tags which result in a schedule,
excluding schedules that return energy
in kind.
asabaliauskas on DSK3SPTVN1PROD with NOTICES
Based on the formula rate, the charge
will be calculated each fiscal year using
updated financial and schedule data.
The charge will be effective on October
1st of each year and posted on WALC’s
website.
UNITED STATES DEPARTMENT OF
ENERGY
WESTERN AREA POWER
ADMINISTRATION
Desert Southwest Region and
Western Area Lower Colorado
Balancing Authority
SCHEDULING, SYSTEM CONTROL,
AND DISPATCH SERVICE
Effective
The first day of the first full billing
period beginning on or after October 1,
2016, and will remain in effect through
September 30, 2021, or until
superseded.
Applicable
Scheduling, System Control, and
Dispatch Service is required to schedule
the movement of power through, out of,
within, or into the Balancing Authority
Rate Schedule DSW–RS4
SCHEDULE 2 to OATT
(Supersedes Schedule DSW–RS3)
UNITED STATES DEPARTMENT OF
ENERGY
WESTERN AREA POWER
ADMINISTRATION
Desert Southwest Region and
Western Area Lower Colorado
Balancing Authority
REACTIVE SUPPLY AND VOLTAGE
CONTROL FROM GENERATION
SOURCES OR OTHER SOURCES
SERVICE
Effective
The first day of the first full billing
period beginning on or after October 1,
2016, and will remain in effect through
September 30, 2021, or until
superseded.
Applicable
In order to maintain transmission
voltages on the transmission facilities
within acceptable limits, generation
facilities and non-generation resources
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18:54 Aug 24, 2016
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Area (BA Area). This service can be
provided only by the operator in which
the transmission facilities used for
transmission service are located. The
Western Area Lower Colorado Balancing
Authority (WALC) performs this service
for all Transmission Service Providers
(TSPs) within its BA Area. The
transmission customer must purchase
this service, unless other arrangements
are made with WALC.
The charge will be applied to all
schedules, except for schedules that
return energy in kind to WALC. WALC
will accept any number of scheduling
changes during the day without
additional charge. The charge will be
allocated equally among all TSPs, both
Federal and non-Federal, listed on
schedules inside its BA Area. The
Federal transmission segments of the
schedule are exempt from invoicing
since the costs for these segments are
included in applicable transmission
service rates.
Formula Rate
capable of providing Reactive Supply
and Voltage Control (VAR Support
Service) are operated to produce (or
absorb) reactive power. This service
must be provided for each transaction
on the transmission facilities within the
Balancing Authority (BA) by the
Transmission Service Provider (TSP) or
the BA who performs this function for
the TSP.
VAR Support Service will be
provided by the Western Area Lower
Colorado Balancing Authority (WALC).
Customers of a Federal TSP must
purchase this service from WALC unless
the transmission customer has
generating resources capable of
providing VARs directly to the Federal
TSP and has executed a contract
stipulating all the provisions of their
self-supply. If WALC provides VAR
Support Service on behalf of any nonFederal TSP, this service will be
assessed on either the non-Federal
TSP’s reserved capacity or the
scheduled quantity of the non-Federal
TSP’s customers.
Formula Rate
E:\FR\FM\25AUN1.SGM
25AUN1
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58506
Federal Register / Vol. 81, No. 165 / Thursday, August 25, 2016 / Notices
SCHEDULE 3 to OATT
(Supersedes Schedule DSW–FR3)
UNITED STATES DEPARTMENT OF
ENERGY
WESTERN AREA POWER
ADMINISTRATION
Desert Southwest Region and
Western Area Lower Colorado
Balancing Authority
REGULATION AND FREQUENCY
RESPONSE SERVICE
Effective
The first day of the first full billing
period beginning on or after October 1,
2016, and will remain in effect through
September 30, 2021, or until
superseded.
asabaliauskas on DSK3SPTVN1PROD with NOTICES
Applicable
Regulation and Frequency Response
Service (Regulation Service) is
The numerator includes the annual
costs associated with plant-in-service,
operation and maintenance, purchase of
regulation products, purchases of power
to support WALC’s ability to regulate,
and other related costs involved in
providing the service. The denominator
consists of the load within WALC that
requires this service plus the product of
the installed nameplate capacity of solar
and wind generators serving load within
WALC and the applicable capacity
multipliers.
Based on the formula rate, the charge
will be calculated each fiscal year using
updated financial and load data. The
charge will be effective on October 1st
of each year and will be posted on
WALC’s website.
Types of Assessments
There are two different applications of
this formula rate:
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18:54 Aug 24, 2016
Jkt 238001
1) A load-based assessment which is
applicable to load within WALC (total
metered load less Federal power
allocation, including behind the meter
generation rating, or if available, hourly
data if generation is synchronized) and
the installed nameplate capacity of all
intermittent resources serving load
within WALC.
2) A self-provision assessment which
allows entities with Automatic
Generation Control (AGC) to selfprovide for all or a portion of their
loads. Entities with AGC are known as
Sub-Balancing Authorities (SBA) and
must meet all of the following criteria:
(a) have a well-defined boundary, with
WALC-approved revenue-quality
metering, accurate as defined by the
North American Electric Reliability
Corporation (NERC), to include
Megawatt (MW) flow data availability at
6-second or smaller intervals; (b) have
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Frm 00040
Fmt 4703
Sfmt 4703
necessary to provide for the continuous
balancing of resources, generation and
interchange, with load, and for
maintaining scheduled interconnection
frequency at sixty cycles per second (60
Hz). The obligation to maintain this
balance between resources and load lies
with the Transmission Service Provider
(TSP) or the Balancing Authority (BA)
who performs this function for the TSP.
The Western Area Lower Colorado
Balancing Authority (WALC) performs
this function for the Federal TSPs and
must offer this service when
transmission is used to serve load
within its Balancing Authority Area (BA
Area). Non-Federal TSPs and customers
of Federal TSPs must purchase
Regulation Service from WALC or make
alternative comparable arrangements to
satisfy their regulation obligations.
Formula Rate
AGC responsive unit(s); (c) demonstrate
Regulation Service capability; and (d)
execute a contract with WALC, provide
all requested data, and meet the SBA
error criteria below.
Self-provision is measured by use of
the entity’s 1-minute average Area
Control Error (ACE) to determine the
amount of self-provision. The ACE is
used to calculate the Regulation Service
charges every hour as follows:
1) If the entity’s 1-minute average
ACE for the hour is less than or equal
to 0.5 percent of its hourly average load,
no charge is assessed for that hour.
2) If the entity’s 1-minute average
ACE for the hour is greater than or equal
to 1.5 percent of the entity’s hourly
average load, WALC assess charges
using the hourly load-based assessment
applied to the entity’s peak load for that
month.
E:\FR\FM\25AUN1.SGM
25AUN1
EN25AU16.036</GPH>
Rate Schedule DSW–FR4
EN25AU16.035</GPH>
The numerator consists of the annual
revenue requirement for generation
multiplied by the percentage of resource
capacity used for providing VAR
Support Service. That percentage is
based on the nameplate power factor
(one minus the power factor) for the
generating units supplying the service
within WALC. The denominator
consists of the transmission transactions
within WALC that require this service.
Based on the formula rate, the charge
will be calculated each fiscal year using
updated financial and reservation data.
The charge will be effective on October
1st of each year and will be posted on
WALC’s website.
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Federal Register / Vol. 81, No. 165 / Thursday, August 25, 2016 / Notices
3) If the entity’s 1-minute average
ACE for the hour is greater than 0.5
percent but less than 1.5 percent of its
hourly average load, WALC assesses
charges based on linear interpolation of
no charge and full charge, using the
hourly load-based assessment applied to
the entity’s peak load for that month.
Rate Schedule DSW–EI4
WALC monitors the entity’s selfprovision on a regular basis. If WALC
determines that the entity has not been
attempting to self-regulate, WALC will,
upon notification, employ the loadbased assessment methodology
described above.
Desert Southwest Region and Western
Area Lower Colorado Balancing
Authority
Alternative Arrangements
Exporting Intermittent Resource
Requirement: An entity that exports the
output from an intermittent generator to
another BA Area will be required to
dynamically meter or dynamically
schedule that resource out of WALC to
another BA unless arrangements,
satisfactory to WALC, are made for that
entity to acquire this service from a
third-party or self-supply (as outlined
below). An intermittent generator is one
whose output is volatile and variable
due to factors beyond direct operational
control and, therefore, is not
dispatchable.
Self- or Third-party Supply: WALC
may allow an entity to supply some or
all of its required regulation, or contract
with a third party. This entity must have
revenue quality metering at every load
and generation point, with accuracy as
defined by NERC, to include MW flow
data availability at 6-second (or smaller)
intervals. WALC will evaluate the
entity’s metering, telecommunications
and regulating resource, as well as the
required level of regulation, to
determine whether the entity qualifies
to self-supply under this provision. If
approved, the entity is required to enter
into a separate agreement with WALC
which will specify the terms of selfsupply.
asabaliauskas on DSK3SPTVN1PROD with NOTICES
Customer Accommodation
For entities unwilling to take
Regulation Service, self-provide as
described above, or obtain the service
from a third party, WALC will assist the
entity in dynamically metering its
loads/resources to another BA. Until
such time meter configuration is
accomplished, the entity will be
responsible for charges assessed under
this schedule.
VerDate Sep<11>2014
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SCHEDULE 4 to OATT
(Supersedes Schedule DSW–EI3)
UNITED STATES DEPARTMENT OF
ENERGY
WESTERN AREA POWER
ADMINISTRATION
ENERGY IMBALANCE SERVICE
Effective
The first day of the first full billing
period beginning on or after October 1,
2016, and will remain in effect through
September 30, 2021, or until
superseded.
Applicable
Energy Imbalance Service is provided
when there is a difference between the
scheduled and actual delivery of energy
to a load located within a Balancing
Authority Area (BA Area) over a single
hour. The Transmission Service
Provider (TSP) or the Balancing
Authority (BA) who performs this
function for the TSP must offer this
service when transmission is used to
serve load within its BA Area.
The Western Area Lower Colorado
Balancing Authority (WALC) performs
this function for the Federal TSP.
Customers of a Federal TSP must
purchase this service from WALC or
make alternative comparable
arrangements to satisfy their Energy
Imbalance obligations. Non-Federal
TSPs must have separate agreements
with WALC that specify the terms of
Energy Imbalance Service. WALC may
charge a transmission customer for
either energy imbalances under this
schedule or generator imbalances under
Schedule 9 for imbalances occurring
during the same hour, but not both
unless the imbalances aggravate rather
than offset each other.
Formula Rate
Charges for energy imbalances are
based on the deviation bands as follows:
1. For deviations within ±1.5 percent
(with a minimum of 4 MW) of the
metered load, the settlement for on-peak
and off-peak hours is 100 percent.
2. For deviations greater than ±1.5 up
to 7.5 percent (or greater than 4 MW up
to 10 MW) of the metered load, the
settlement for on-peak hours is 110
percent for under-delivery and 90
percent for over-delivery, and the
settlement for off-peak hours is 110
percent for under-delivery and 75
percent for over-delivery.
PO 00000
Frm 00041
Fmt 4703
Sfmt 4703
3. For deviations greater than ±7.5
percent (or 10 MW) of the metered load,
the settlement for on-peak hours is 125
percent for under-delivery and 75
percent for over-delivery, and the
settlement for off-peak hours is 125
percent for under-delivery and 60
percent for over-delivery.
The deviation bands will be applied
hourly and any energy imbalances that
occur as a result of the transmission
customer’s scheduled transactions will
be netted on a monthly basis and settled
financially at the end of the month. For
purposes of this schedule, the proxy
prices used to determine financial
settlement will be derived from the Palo
Verde electricity price indexes, or
similar alternative, for on-peak and offpeak. WALC may accept settlement in
energy in lieu of financial settlement.
During periods of BA operating
constraints, WALC reserves the right to
eliminate credits for over-delivery. The
cost to WALC of any penalty assessed
by a regulatory authority due to a
violation of operating standards
resulting from under or over-delivery of
energy may be passed through to
customers.
Rate Schedule DSW–SPR4
SCHEDULE 5 to OATT
(Supersedes Schedule DSW–SPR3)
UNITED STATES DEPARTMENT OF
ENERGY
WESTERN AREA POWER
ADMINISTRATION
Desert Southwest Region and Western
Area Lower Colorado Balancing
Authority
OPERATING RESERVE—SPINNING
RESERVE SERVICE
Effective
The first day of the first full billing
period beginning on or after October 1,
2016, and will remain in effect through
September 30, 2021, or until
superseded.
Applicable
Spinning Reserve Service is needed to
serve load immediately in the event of
a system contingency and may be
provided by generating units that are
on-line and loaded at less than
maximum output. The Transmission
Service Provider (TSP) or the Balancing
Authority (BA) who performs this
function for the TSP must offer this
service when transmission is used to
serve load within its BA Area.
The Western Area Lower Colorado
Balancing Authority (WALC) performs
this function for the Federal TSP.
Customers of a Federal TSP must
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25AUN1
Federal Register / Vol. 81, No. 165 / Thursday, August 25, 2016 / Notices
58509
make alternative arrangements to satisfy
their Spinning Reserve obligations.
Formula Rate
WALC has no Spinning Reserves
available for sale. Upon request, WALC
will purchase at market price and passthrough the cost plus an administrative
fee that covers the cost of procuring and
supplying Spinning Reserves. The
customer will be responsible for
providing the transmission needed to
deliver the Spinning Reserves
purchased.
WALC has no Supplemental Reserves
for sale. Upon request, WALC will
purchase at market price and passthrough the cost plus an administrative
fee that covers the cost of procuring and
supplying Supplemental Reserves. The
customer will be responsible for
providing the transmission needed to
deliver.
Rate Schedule DSW–SUR4
SCHEDULE 9 to OATT
SCHEDULE 6 to OATT
(Supersedes Schedule DSW–GI1)
(Supersedes Schedule DSW–SPR3
UNITED STATES DEPARTMENT OF
ENERGY
dynamically schedule or dynamically
meter their generation to another BA
Area unless arrangements, satisfactory
to WALC, are made to acquire this
service from a third-party. An
intermittent resource, for the limited
purpose of this 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.
WALC may charge a transmission
customer for either generator
imbalances under this schedule or
energy imbalances under Schedule 4 for
imbalances occurring during the same
hour, but not both unless the
imbalances aggravate rather than offset
each other.
UNITED STATES DEPARTMENT OF
ENERGY
WESTERN AREA POWER
ADMINISTRATION
WESTERN AREA POWER
ADMINISTRATION
Desert Southwest Region and Western
Area Lower Colorado Balancing
Authority
OPERATING RESERVE—
SUPPLEMENTAL RESERVE SERVICE
Effective
The first day of the first full billing
period beginning on or after October 1,
2016, and will remain in effect through
September 30, 2021, or until
superseded.
asabaliauskas on DSK3SPTVN1PROD with NOTICES
Applicable
Supplemental Reserve Service is
needed to serve load in the event of a
system contingency. It is not available
immediately to serve load but is
generally available within a short period
of time after a system contingency
event. This service may be provided by
generating units that are on-line but
unloaded, by quick-start generation, or
by interruptible load. The Transmission
Service Provider (TSP) or the Balancing
Authority (BA) who performs this
function for the TSP must offer this
service when transmission is used to
serve load within its BA Area.
The Western Area Lower Colorado
Balancing Authority (WALC) performs
this function for the Federal TSP.
Customers of a Federal TSP must
purchase this service from WALC or
make alternative arrangements to satisfy
their Supplemental Reserve obligations.
Formula Rate
Cost of Service = Market Price + Administrative Fee
VerDate Sep<11>2014
18:54 Aug 24, 2016
Jkt 238001
Rate Schedule DSW–GI2
Desert Southwest Region and Western
Area Lower Colorado Balancing
Authority
GENERATOR IMBALANCE SERVICE
Effective
The first day of the first full billing
period beginning on or after October 1,
2016, and will remain in effect through
September 30, 2021, or until
superseded.
Applicable
Generator Imbalance Service is
provided when a difference occurs
between the output of a generator
located in the Balancing Authority Area
(BA Area) and the delivery schedule
from that generator to another BA Area
or a load within the Transmission
Service Provider’s (TSP) BA Area over
a single hour. The TSP or the Balancing
Authority (BA) who performs this
function for the TSP must offer this
service, to the extent it is physically
feasible to do so from its resources or
from resources available to it, when
transmission is used to deliver energy
from a generator located within its BA
Area.
The Western Area Lower Colorado
Balancing Authority (WALC) performs
this function for the Federal TSP.
Customers of a Federal TSP must
purchase this service from WALC or
make alternative comparable
arrangements to satisfy their Generator
Imbalance obligations. Non-Federal
TSPs must have separate agreements
with WALC that specify the terms of
Generator Imbalance Service. An
intermittent resource serving load
outside WALC will be required to
PO 00000
Frm 00042
Fmt 4703
Sfmt 4703
Formula Rate
Charges for generator imbalances are
based on the deviation bands as follows:
1. For deviations within ±1.5 percent
(with a minimum of 4 MW) of the
metered generation, the settlement for
on-peak and off-peak hours is 100
percent.
2. For deviations greater than ±1.5 up
to 7.5 percent (or greater than 4 MW up
to 10 MW) of the metered generation,
the settlement for on-peak hours is 110
percent for under-delivery and 90
percent for over-delivery, and the
settlement for off-peak hours is 110
percent for under-delivery and 75
percent for over-delivery.
3. For deviations greater than ±7.5
percent (or 10 MW) of the metered
generation, the settlement for on-peak
hours is 125 percent for under-delivery
and 75 percent for over-delivery, and
the settlement for off-peak hours is 125
percent for under-delivery and 60
percent for over-delivery. An
intermittent resource will be exempt
from this deviation band but will be
subject to the settlement provisions in
the second deviation band for all
deviations greater than ±7.5 percent (or
10 MW).
The deviation bands will be applied
hourly and any generator imbalances
that occur as a result of the transmission
customer’s scheduled transactions will
be netted on a monthly basis and settled
financially at the end of the month. For
purposes of this schedule, the proxy
prices used to determine financial
settlement will be derived from the Palo
Verde electricity price indexes, or
E:\FR\FM\25AUN1.SGM
25AUN1
EN25AU16.038</GPH>
purchase this service from WALC or
58510
Federal Register / Vol. 81, No. 165 / Thursday, August 25, 2016 / Notices
similar alternative, for on-peak and offpeak. WALC may accept settlement in
energy in lieu of financial settlement.
During periods of BA operating
constraints, WALC reserves the right to
eliminate credits for over-delivery. The
cost to WALC of any penalty assessed
by a regulatory authority due to a
violation of operating standards
resulting from under or over-delivery of
energy may be passed through to
customers.
[FR Doc. 2016–20397 Filed 8–24–16; 8:45 am]
BILLING CODE 6450–01–P
ENVIRONMENTAL PROTECTION
AGENCY
[EPA–HQ–OLEM–2016–0465, FRL–9951–43–
OLEM]
Agency Information Collection
Activities; Proposed Collection;
Comment Request; Information
Requirements for Boilers and
Industrial Furnaces
Environmental Protection
Agency (EPA).
ACTION: Notice.
AGENCY:
The Environmental Protection
Agency (EPA) is planning to submit the
information collection request (ICR),
Information Requirements for Boilers
and Industrial Furnaces (EPA ICR No.
1361.17, OMB Control No. 2050–0073)
to the Office of Management and Budget
(OMB) for review and approval in
accordance with the Paperwork
Reduction Act (PRA) (44 U.S.C. 3501 et
seq.). Before doing so, the EPA is
soliciting public comments on specific
aspects of the proposed information
collection as described below. This is a
proposed extension of the ICR, which is
currently approved through December
31, 2016. An Agency may not conduct
or sponsor and a person is not required
to respond to a collection of information
unless it displays a currently valid OMB
control number.
DATES: Comments must be submitted on
or before October 24, 2016.
ADDRESSES: Submit your comments,
referencing by Docket ID No. EPA–HQ–
OLEM–2016–0465, online using
www.regulations.gov (our preferred
method), by email to rcra-docket@
epa.gov, or by mail to: EPA Docket
Center, Environmental Protection
Agency, Mail Code 28221T, 1200
Pennsylvania Ave. NW., Washington,
DC 20460.
EPA’s policy is that all comments
received will be included in the public
docket without change including any
personal information provided, unless
asabaliauskas on DSK3SPTVN1PROD with NOTICES
SUMMARY:
VerDate Sep<11>2014
18:54 Aug 24, 2016
Jkt 238001
the comment includes profanity, threats,
information claimed to be Confidential
Business Information (CBI) or other
information whose disclosure is
restricted by statute.
FOR FURTHER INFORMATION CONTACT:
Peggy Vyas, Office of Resource
Conservation and Recovery (mail code
5303P), Environmental Protection
Agency, 1200 Pennsylvania Ave. NW.,
Washington, DC 20460; telephone
number: 703–308–5477; fax number:
703–308–8433; email address:
vyas.peggy@epa.gov.
SUPPLEMENTARY INFORMATION:
Supporting documents which explain in
detail the information the EPA will be
collecting are available in the public
docket for this ICR. The docket can be
viewed online at www.regulations.gov
or in person at the EPA Docket Center,
WJC West, Room 3334, 1301
Constitution Ave. NW., Washington,
DC. The telephone number for the
Docket Center is 202–566–1744. For
additional information about EPA’s
public docket, visit https://www.epa.gov/
dockets.
Pursuant to section 3506(c)(2)(A) of
the PRA, the EPA is soliciting comments
and information to enable it to: (i)
Evaluate whether the proposed
collection of information is necessary
for the proper performance of the
functions of the Agency, including
whether the information will have
practical utility; (ii) evaluate the
accuracy of the Agency’s estimate of the
burden of the proposed collection of
information, including the validity of
the methodology and assumptions used;
(iii) enhance the quality, utility, and
clarity of the information to be
collected; and (iv) minimize the burden
of the collection of information on those
who are to respond, including through
the use of appropriate automated
electronic, mechanical, or other
technological collection techniques or
other forms of information technology,
e.g., permitting electronic submission of
responses. The EPA will consider the
comments received and amend the ICR
as appropriate. The final ICR package
will then be submitted to OMB for
review and approval. At that time, the
EPA will issue another Federal Register
notice to announce the submission of
the ICR to OMB and the opportunity to
submit additional comments to OMB.
Abstract: EPA regulates the burning of
hazardous waste in boilers, incinerators,
and industrial furnaces (BIFs) under 40
CFR parts 63, 264, 265, 266 and 270.
This ICR describes the paperwork
requirements that apply to the owners
and operators of BIFs. This includes the
general facility requirements at 40 CFR
PO 00000
Frm 00043
Fmt 4703
Sfmt 4703
parts 264 and 265, subparts B thru H;
the requirements applicable to BIF units
at 40 CFR part 266; and the RCRA Part
B permit application and modification
requirements at 40 CFR part 270.
Form Numbers: None.
Respondents/affected entities:
Business or other for-profit.
Respondent’s obligation to respond:
Mandatory (per 40 CFR 264, 265, and
270).
Estimated number of respondents:
114.
Frequency of response: On occasion.
Total estimated burden: 291,757
hours per year. Burden is defined at 5
CFR 1320.03(b).
Total estimated cost: $21,004,550,
which includes $9,839,942 annualized
labor costs and $11,164,608 annualized
capital or O&M costs.
Changes in Estimates: The burden
hours are likely to stay substantially the
same.
Dated: August 17, 2016.
Barnes Johnson,
Director, Office of Resource Conservation and
Recovery.
[FR Doc. 2016–20321 Filed 8–24–16; 8:45 am]
BILLING CODE 6560–50–P
ENVIRONMENTAL PROTECTION
AGENCY
[FRL–9951–35–OA]
Meeting of the Local Government
Advisory Committee
Environmental Protection
Agency (EPA).
ACTION: Notice.
AGENCY:
The Local Government
Advisory Committee’s (LGAC)
Protecting America’s Waters Workgroup
is seeking input on the LGAC’s Charge
from the U.S. Environmental Protection
Agency (EPA) to give advice and
recommendations to the Administrator
to inform the development of a National
Action Plan for Drinking Water (Action
Plan). The LGAC will provide their final
recommendations to the EPA
Administrator during the autumn of
2016.
EPA is committed to working with
government partners, communities, and
stakeholders to strengthen the nations
drinking water systems. The LGAC
Protecting America’s Waters Workgroup
will have a series of meetings to hear
from local elected and appointed
officials. These meetings will be held on
Wednesday, September 7th, 2016 at
4:30–5:30 EDT; and Wednesday,
September 21st, 4:30–5:30 EDT via
teleconference. The focus of the
SUMMARY:
E:\FR\FM\25AUN1.SGM
25AUN1
]]>Agencies
[Federal Register Volume 81, Number 165 (Thursday, August 25, 2016)]
[Notices]
[Pages 58497-58510]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2016-20397]
=======================================================================
-----------------------------------------------------------------------
DEPARTMENT OF ENERGY
Western Area Power Administration
Desert Southwest Region Transmission, Transmission Losses,
Unreserved Use Penalties, and Ancillary Services--Rate Order No. WAPA-
175
AGENCY: Western Area Power Administration, DOE.
ACTION: Notice of Final Formula Rates for Transmission and Ancillary
Services.
-----------------------------------------------------------------------
[[Page 58498]]
SUMMARY: The Deputy Secretary of Energy has confirmed and approved Rate
Order No. WAPA-175 and Rate Schedules PD-NTS4 and INT-NTS4, placing
formula rates for Network Integration Transmission Service (Network) on
the Parker-Davis Project (P-DP) and Pacific Northwest-Pacific Southwest
Intertie Project (Intertie) of the Western Area Power Administration
(WAPA) into effect on an interim basis. The Deputy Secretary also
confirmed and approved Rate Schedules DSW-TL1, DSW-UU1, DSW-SD4, DSW-
RS4, DSW-FR4, DSW-EI4, DSW-SPR4, DSW-SUR4, and DSW-GI2, placing formula
rates for transmission losses, unreserved use penalties, and ancillary
services from WAPA's Desert Southwest Region (DSW) and Western Area
Lower Colorado Balancing Authority (WALC) into effect on an interim
basis. The provisional formula rates will provide sufficient revenue to
pay all annual costs, including interest expense, and repay applicable
investments within the allowable periods.
DATES: Rate Schedules PD-NTS4, INT-NTS4, DSW-TL1, DSW-UU1, DSW-SD4,
DSW-RS4, DSW-FR4, DSW-EI4, DSW-SPR4, DSW-SUR4, and DSW-GI2 are
effective on the first day of the first full billing period beginning
on or after October 1, 2016, and will remain in effect through
September 30, 2021, pending approval by the Federal Energy Regulatory
Commission (FERC) on a final basis or until superseded.
FOR FURTHER INFORMATION CONTACT: Mr. Ronald E. Moulton, Regional
Manager, Desert Southwest Region, Western Area Power Administration,
P.O. Box 6457, Phoenix, AZ 85005-6457, (602) 605-2453, or Mr. Scott
Lund, Rates Manager, Desert Southwest Region, Western Area Power
Administration, P.O. Box 6457, Phoenix, AZ 85005-6457, (602) 605-2442,
email slund@wapa.gov.
SUPPLEMENTARY INFORMATION: WAPA's DSW published a Federal Register
notice on February 3, 2016 (81 FR 5741), announcing the proposed
formula rates, initiating a public consultation and comment period, and
setting forth the date and location of public information and comment
forums. On February 4, 2016, customers and interested parties were
provided a copy of the published notice. WAPA's DSW held both forums in
Phoenix, Arizona, on March 30, 2016.
The previous Rate Schedules PD-NTS3, INT-NTS3, DSW-SD3, DSW-RS3,
DSW-FR3, DSW-EI3, DSW-SPR3, DSW-SUR3, and DSW-GI1 for Rate Order No.
WAPA-151 were approved by FERC for a 5-year period through September
30, 2016.\1\ Several of these rate schedules contain formula rates that
were calculated each year to include the most recent financial, load,
and schedule information, as applicable. The new rate schedules
continue this approach.
---------------------------------------------------------------------------
\1\ Rate Order No. WAPA-151 was approved by FERC on a final
basis on March 5, 2012, in Docket No. EF11-14-000 (138 FERC ]
62,198).
---------------------------------------------------------------------------
Transmission Services
Rate Schedules PD-NTS4 and INT-NTS4 for Network on the P-DP and
Intertie are based on a revenue requirement that recovers the costs for
providing transmission service. This includes the costs for scheduling,
system control, and dispatch service needed to provide the transmission
service.
Rate Schedule DSW-TL1 for Transmission Losses is a new rate
schedule that provides for the recovery of losses associated with
transmission service. Previously, losses were addressed in the
transmission service rate schedules for each project administered by
WAPA's DSW.
Rate Schedule DSW-UU1 for Unreserved Use Penalties is also a new
rate schedule that provides for a penalty, in addition to the usual
charge for transmission service, for the use of transmission capacity
that has not been reserved or has been used in excess of the amount
reserved. Previously, penalty provisions for unauthorized use were
included in the transmission service rate schedules for each project
administered by WAPA's DSW.
Ancillary Services
DSW provides seven ancillary services pursuant to WAPA's Open
Access Transmission Tariff (OATT). These services include: (1)
Scheduling, System Control, and Dispatch (DSW-SD4); (2) Reactive Supply
and Voltage Control (DSW-RS4); (3) Regulation and Frequency Response
(DSW-FR4); (4) Energy Imbalance (DSW-EI4); (5) Spinning Reserve (DSW-
SPR4); (6) Supplemental Reserve (DSW-SUR4), and (7) Generator Imbalance
(DSW-GI2).
Changes were made to the formula rates for Regulation and Frequency
Response, Energy Imbalance, and Generator Imbalance. The formula rate
for Regulation and Frequency Response now includes the application of
variable capacity multipliers to the installed capacity of variable
energy resources. The formula rates for Energy Imbalance and Generator
Imbalance now have the same bandwidth structure for on-peak and off-
peak hours. No changes were made to the formula rates for the other
ancillary services. Minor editorial changes were made to rate schedule
language to provide clarification and make them more uniform and
consistent.
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 the Administrator of WAPA; (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. Federal rules (10 CFR part 903) govern
Department of Energy procedures for public participation in power and
transmission rate adjustments.
Under Delegation Order Nos. 00-037.00A and 00-001.00F and in
compliance with 10 CFR part 903 and 18 CFR part 300, I hereby confirm,
approve, and place Rate Order No. WAPA-175, which provides the formula
rates for DSW transmission, transmission losses, unreserved use
penalties, and ancillary services into effect on an interim basis. The
new Rate Schedules PD-NTS4, INT-NTS4, DSW-TL1, DSW-UU1, DSW-SD4, DSW-
RS4, DSW-FR4, DSW-EI4, DSW-SPR4, DSW-SUR4, and DSW-GI2 will be
submitted promptly to FERC for confirmation and approval on a final
basis.
Dated: August 18, 2016.
Elizabeth Sherwood-Randall,
Deputy Secretary of Energy.
DEPARTMENT OF ENERGY
DEPUTY SECRETARY
In the matter of: Western Area Power Administration, Desert
Southwest Region, Rate Adjustment for Transmission Service,
Transmission Losses, Unreserved Use Penalties, and Ancillary
Services.
Rate Order No. WAPA-175
ORDER CONFIRMING, APPROVING, AND PLACING FORMULA RATES FOR TRANSMISSION
SERVICE, TRANSMISSION LOSSES, UNRESERVED USE PENALTIES, AND ANCILLARY
SERVICES INTO EFFECT ON AN INTERIM BASIS
The formula rates set forth in this order are established pursuant
to 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
[[Page 58499]]
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 projects involved.
By Delegation Order No. 00[dash]037.00A, effective October 25,
2013, the Secretary of Energy delegated: (1) the authority to develop
power and transmission rates to the Administrator of the Western Area
Power Administration (WAPA); (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). Federal rules
(10 CFR part 903) govern DOE procedures for public participation in
power and transmission rate adjustments.
Acronyms and Definitions
As used in this Rate Order, the following acronyms and definitions
apply:
------------------------------------------------------------------------
------------------------------------------------------------------------
Balancing Authority (BA)..... The responsible entity that integrates
resource plans ahead of time, maintains
load-interchange-generation balance
within a Balancing Authority Area, and
supports interconnection frequency in
real-time.
Balancing Authority (BA) Area The collection of generation,
transmission, and loads within the
metered boundaries of the Balancing
Authority.
DOE.......................... United States Department of Energy.
DSW.......................... Desert Southwest Region.
FERC......................... Federal Energy Regulatory Commission.
Kilowatt (kW)................ Electrical unit of capacity equal to
1,000 watts.
Megawatt (MW)................ Electrical unit of capacity equal to
1,000 kW or 1,000,000 watts.
Network...................... Network Integration Transmission Service.
OATT......................... WAPA's revised Open Access Transmission
Tariff, effective May 13, 2013.
Open Access Same-Time An electronic posting system that a
Informaton System (OASIS). service provider maintains for
transmission access data that allows
users to view information
simultaneously.
Transmission Service Provider Any utility that owns, operates, or
(TSP). controls facilities used to transmit
electric energy.
VAR.......................... Volt-Ampere Reactive, a unit by which
reactive power is expressed.
VER.......................... Variable energy resources.
WALC......................... Western Area Lower Colorado Balancing
Authority.
WAPA......................... Western Area Power Administration.
------------------------------------------------------------------------
Effective Date
The provisional formula rates are effective on the first day of the
first full billing period beginning on or after October 1, 2016, and
will remain in effect through September 30, 2021, pending approval by
FERC on a final basis or until superseded.
Public Notice and Comment
WAPA followed the Procedures for Public Participation in Power and
Transmission Rate Adjustments and Extensions, 10 CFR part 903, in
developing these formula rates and schedules. WAPA took the following
steps to involve the public in the rate adjustment process:
1. On July 2, 2015, WAPA notified DSW customers and interested
parties by email of an informal meeting and posted this notice on its
public website. On August 10, 2015, WAPA held an informal meeting to
discuss DSW's rate proposals for transmission and ancillary services.
2. WAPA published a Federal Register notice on February 3, 2016 (81
FR 5741), announcing the proposed formula rates, initiating the
90[dash]day public consultation and comment period, setting forth the
date and location of public information and public comment forums, and
outlining the procedures for public participation.
3. On February 4, 2016, WAPA sent DSW customers and interested
parties a copy of the notice.
4. On March 30, 2016, WAPA held a public information forum in
Phoenix, Arizona. WAPA's DSW representatives explained the need for the
formula rate adjustment and proposed changes to the formula rates,
answered questions, and provided presentation handouts.
5. On March 30, 2016, following the public information forum, WAPA
held a public comment forum in Phoenix, Arizona, to provide customers
and interested parties an opportunity to comment for the record.
6. WAPA established a public website to post information about this
rate adjustment. The website is located at https://www.wapa.gov/regions/DSW/Rates/Pages/ancillary-rates.aspx.
Comments
No oral comments were made at the public comment forum. WAPA
received one written comment during the consultation and comment
period. A written comment was received from Arizona Generation and
Transmission Cooperatives, Benson, Arizona. The comment has been
considered in preparing this Rate Order
Project Descriptions
WAPA's DSW provides ancillary services through WALC, which
encompasses the projects within its marketing area--Boulder Canyon
Project (BCP), Parker-Davis Project (P-DP), Central Arizona Project
(CAP), and the Pacific Northwest-Pacific Southwest Intertie Project
(Intertie). Network is offered on the P-DP, CAP, and Intertie.
BCP
Hoover Dam, authorized by the Boulder Canyon Project Act (45 Stat.
1057, December 21, 1928), sits on the Colorado River along the Arizona-
Nevada border. Hoover Dam's power plant has 19 generating units (two
for plant use) and an installed capacity of 2,078,800 kW (4,800 kW for
plant use). High-voltage transmission lines and substations make it
possible to deliver this power to southern Nevada, Arizona, and
southern California.
P-DP
P-DP was formed by consolidating two projects, Davis Dam and Parker
Dam, under terms of the Act of May 28, 1954 (68 Stat. 143). Davis Dam's
power plant has five generating units and an installed capacity of
255,000 kW. Parker Dam's power plant has four generating units and an
installed capacity of 120,000 kW. P-DP is operated in conjunction with
the other Federal hydroelectric generation facilities in the Colorado
River Basin. The project also includes 1,535 circuit miles of
transmission lines in Arizona, southern Nevada, and along the Colorado
River in California.
CAP
Congress authorized CAP in 1968 to improve water resources in the
Colorado River Basin (43 U.S.C. 1501). The
[[Page 58500]]
legislation also authorized Federal participation in the Navajo
Generating Station, which has three coal-fired steam electric
generating units with a combined capacity of 2,250,000 kW. The 24.3
percent Federal share (546,750 kW) of the Navajo Generating Station is
used to power the pumps that move Colorado River water through the CAP
canals.
Intertie
Intertie was authorized by Section 8 of the Pacific Northwest Power
Marketing Act of August 31, 1964 (16 U.S.C. 837g). WAPA's portion of
the Intertie consists of two parts, a northern portion and a southern
portion. The northern portion is administered by WAPA's Sierra Nevada
Region. The southern portion is administered by WAPA's DSW and consists
of 865 circuit miles of extra high-voltage and 108 circuit miles of
high-voltage transmission lines in Arizona, southern Nevada, and
southern California.
Existing and Provisional Formula Rates
The existing formula rates contained in Rate Schedules PD-NTS3,
INT-NTS3, DSW-SD3, DSW-RS3, DSW-FR3, DSW-EI3, DSW-SPR3, DSW-SUR3, and
DSW-GI1 expire on September 30, 2016. Several of these rate schedules
contain formula rates that are calculated each fiscal year to include
the most recent financial, load, and schedule information, as
applicable. The new rate schedules continue with this approach.
Network
The existing formula rates for Network on the P-DP and Intertie
under Rate Schedules PD-NTS3 and INT-NTS3, respectively, are the
following:
[GRAPHIC] [TIFF OMITTED] TN25AU16.028
The provisional formula rates for Network on the P-DP and Intertie
under Rate Schedules PD-NTS4 and INT-NTS4 remain the same without
adjustment.
Transmission Losses
Rate Schedule DSW-TL1 is a new schedule that consolidates the
provisions for transmission losses. This rate schedule will supersede
the existing losses provisions in the separate transmission rate
schedules for each project. The current loss percentages and their
application remain unchanged.
Unreserved Use Penalties
Rate Schedule DSW-UU1 is a new schedule that unifies and
consolidates the penalty provisions for unreserved use. This rate
schedule will supersede the existing unauthorized or unreserved use
provisions in the separate transmission rate schedules for each
project.
Scheduling, System Control, and Dispatch
The existing formula rate for this service under Rate Schedule DSW-
SD3 is the following:
[GRAPHIC] [TIFF OMITTED] TN25AU16.029
The provisional formula rate for this service under Rate Schedule
DSW-SD4 remains the same without adjustment.
Reactive Supply and Voltage Control
The existing formula rate for this service under Rate Schedule DSW-
RS3 is the following:
[GRAPHIC] [TIFF OMITTED] TN25AU16.030
The provisional formula rate for this service under Rate Schedule
DSW-RS4 remains the same without adjustment.
Regulation and Frequency Response
The existing formula rate for this service under Rate Schedule DSW-
FR3 is the following:
[[Page 58501]]
[GRAPHIC] [TIFF OMITTED] TN25AU16.031
Energy Imbalance
The existing formula rate for this service under Rate Schedule DSW-
EI3 is the following:
------------------------------------------------------------------------
Deviation bands Settlements
------------------------------------------------------------------------
On-Peak Hours
------------------------------------------------------------------------
Deviations less than or equal to 1.5% (with a 4 MW minimum) of
metered load.
Deviations greater than 1.5% up to 7.5% (or greater than 110% for under-deliveries (10%
4 MW to 10 MW) of metered load. penalty).
Deviations greater than 7.5% (or 10 MW) of metered load. 125% for under-deliveries (25%
penalty).
------------------------------------------------------------------------
Off-Peak Hours
------------------------------------------------------------------------
Deviations less than or equal to +7.5% 60% for over-delivery (40%
(with a 2 MW minimum) of metered load. penalty).
Deviations less than or equal to -3.0% 110% for under-delivery (10%
(with a 5 MW minimum) of metered load. penalty).
------------------------------------------------------------------------
The provisional formula rate for this service under Rate Schedule
DSW-EI4 is the following
------------------------------------------------------------------------
Deviation bands Settlements
------------------------------------------------------------------------
On-Peak Hours
------------------------------------------------------------------------
No Changes............................. No Changes.
------------------------------------------------------------------------
Off-Peak Hours
------------------------------------------------------------------------
Deviations less than or equal to 1.5% (with a 4 MW minimum) of
metered load.
Deviations greater than 1.5% up to 7.5% (or greater than penalty), 110% for under-
4 MW to 10 MW) of metered load. deliveries (10% penalty).
Deviations greater than 7.5% (or 10 MW) of metered load. penalty), 125% for under-
deliveries (25% penalty).
------------------------------------------------------------------------
[[Page 58502]]
Operating Reserves--Spinning and Supplemental
The existing formula rates for these services under Rate Schedules
DSW-SPR3 and DSW-SUR3 are the following:
[GRAPHIC] [TIFF OMITTED] TN25AU16.037
The provisional formula rates for these services under Rate
Schedules DSW-SPR4 and DSW-SUR4 remain the same without adjustment.
Generator Imbalance
The existing formula rate for this service under Rate Schedule DSW-
GI1 is the following:
------------------------------------------------------------------------
Deviation bands Settlements
------------------------------------------------------------------------
On-Peak Hours
------------------------------------------------------------------------
Deviations less than or equal to 1.5% (with a 4 MW minimum) of
metered generation.
Deviations greater than 1.5% up to 7.5% (or greater than 110%, for under-deliveries
4 MW to 10 MW) of metered generation. (10% penalty).
Deviations greater than 7.5% (or 10 MW) of metered 125%, for under-deliveries
generation. (25% penalty).
------------------------------------------------------------------------
Off-Peak Hours
------------------------------------------------------------------------
Deviations less than or equal to +7.5% 60% for over-delivery (40%
(with a 2 MW minimum) of metered penalty).
generation.
Deviations less than or equal to -3.0% 110% for under-delivery (10%
(with a 5 MW minimum) of metered penalty).
generation.
------------------------------------------------------------------------
The provisional formula rate for this service under Rate Schedule
DSW-GI2 is the following:
------------------------------------------------------------------------
Deviation bands Settlements
------------------------------------------------------------------------
On-Peak Hours
------------------------------------------------------------------------
No Changes............................. No Changes.
------------------------------------------------------------------------
Off-Peak Hours
------------------------------------------------------------------------
Deviations less than or equal to 1.5%, (with a 4 MW minimum) of
metered generation.
Deviations greater than 1.5% up to 7.5% (or greater than penalty), 110% for under-
4 MW to 10 MW) of metered generation. deliveries (10% penalty).
Deviations greater than 7.5% (or 10 MW) of metered penalty), 125% for under-
generation. deliveries (25% penalty).
------------------------------------------------------------------------
Certification of Rates
WAPA's Administrator certified that the provisional formula rates
for Network, transmission losses, unreserved use penalties, and
ancillary services under Rate Schedules PD-NTS4, INT-NTS4, DSW-TL1,
DSW-UU1, DSW-SD4, DSW-RS4, DSW-FR4, DSW-EI4, DSW-SPR4, DSW-SUR4, and
DSW-GI2 result in the lowest possible rates consistent with sound
business principles. The provisional formula rates were developed
following administrative policies and applicable laws.
Transmission Services Discussion
Network
DSW offers Network to eligible customers, subject to the provisions
in WAPA's OATT, from the P-DP, Intertie, and CAP transmission systems.
This service includes the transmission of energy to points of delivery
on the P-DP, Intertie, and CAP interconnected high-voltage systems,
which includes transmission lines, substations, communication equipment
and related facilities. The provisional formula rates only apply to
Network from the P-DP and Intertie transmission systems. The formula
rate for Network from the CAP transmission system was approved under
Rate Order No. WAPA-172 and became effective on January 1, 2016.\2\ The
formula rate for Network from CAP is identical to the provisional
formula rates for P-DP and Intertie.
---------------------------------------------------------------------------
\2\ Rate Order No. WAPA-172 was approved by the Deputy Secretary
of Energy on December 21, 2015, (80 FR 81310, December 29, 2015) and
filed with FERC.
---------------------------------------------------------------------------
The monthly charge for Network is the product of the customer's
load-ratio share and one-twelfth (\1/12\) of the annual revenue
requirement for the appropriate transmission system. The load-ratio
share is equal to the customer's hourly load coincident with
[[Page 58503]]
the monthly transmission system peak hour. The monthly transmission
system peak hour occurs when the metered load for all network service
customers is the greatest. The metered load and the transmission system
load at the peak hour are averaged on a rolling 12-month basis (12-CP).
No changes were made to the formula rates for Network.
Transmission Losses
WALC provides transmission losses to TSPs within its BA Area.
Capacity and energy losses occur when a TSP delivers electricity over
its transmission facilities for a customer. Losses are assessed for
transactions on transmission facilities within WALC.
A single loss percentage for WALC was developed in 2004 and applied
to the P-DP, Intertie, and CAP transmission systems. The loss
provisions contained in the transmission service rate schedules for
each project have been consolidated into a new single rate schedule. No
changes were made to the existing loss percentage or application. The
transmission loss percentage currently in effect is posted on WALC's
OASIS.
Unreserved Use Penalties
Unreserved use occurs when a customer uses transmission service it
has not reserved or uses transmission service in excess of its reserved
capacity. Unreserved use may also include a customer's failure to
curtail transmission when requested.
The penalty provisions for unreserved use in the transmission
service rate schedules for each project have been unified and
consolidated into a new single rate schedule. The penalty for a
customer that engages in unreserved use is two times the maximum
allowable firm point-to-point transmission rate for the service at
issue, assessed as follows:
(1) The penalty for one instance in a single hour is based on the
daily short-term rate;
(2) The penalty for more than one instance for any given duration
(e.g., daily) increases to the next longest duration (e.g., weekly).
A transmission customer is also required to pay for all ancillary
services provided and associated with the unreserved use. The customer
must pay for ancillary services based on the amount of transmission
service it used and did not reserve.
Ancillary Services Discussion
In accordance with WAPA's OATT, ancillary services are needed with
transmission service to maintain reliability inside and among the BA
Areas affected by the transmission service. WAPA's DSW currently
provides seven ancillary services under the OATT: (1) Scheduling,
System Control and Dispatch; (2) Reactive Supply and Voltage Control;
(3) Regulation and Frequency Response; (4) Energy Imbalance; (5)
Spinning Reserve; (6) Supplemental Reserve; and (7) Generator
Imbalance. The provisional formula rates for these services are
designed to recover the costs incurred for providing each of the
services.
The first two ancillary services are defined by FERC as services
that the TSP is required to provide directly, or indirectly by making
arrangements with the BA, and the transmission customer is required to
purchase. The remaining five ancillary services are services that the
TSP (or the BA who performs the function for the TSP) must offer when
transmission is used to serve load within the TSP's BA. The
transmission customer must purchase these ancillary services from the
TSP, acquire the services from a third party, or self-supply the
services.
Scheduling, System Control, and Dispatch
This service is required to schedule the movement of power through,
out of, within, or into a BA Area and must be provided by the BA in
which the facilities used for transmission are located. WALC will
provide this service for all transmission customers within its BA Area.
The charge per schedule per day is calculated by dividing the
annual costs associated with scheduling (numerator) by the number of
schedules per year (denominator). The numerator includes the costs of
transmission scheduling personnel, facilities, equipment, software, and
other related costs involved in providing the service. The denominator
is the yearly total of daily tags that result in a schedule, excluding
schedules that return energy in kind. No changes were made to this
formula rate.
Reactive Supply and Voltage Control
This service is required to maintain transmission voltages on DSW's
transmission facilities within acceptable limits, using generation
facilities and non-generation resources capable of producing (or
absorbing) reactive power. This service must be provided for each
transaction on the transmission facilities within the BA by the TSP (or
the BA who performs this function for the TSP). WALC will perform this
service for DSW's transmission system within its BA Area.
The rate is calculated by dividing the annual revenue requirement
for the service (numerator) by the transactions requiring the service
(denominator). The numerator consists of the annual revenue requirement
for generation multiplied by the percentage of resource capacity used
for providing the service. That percentage is based on the nameplate
power factor (one minus the power factor) for the generating units
supplying service within WALC. The denominator consists of the
transmission capacity of customers taking this service. No changes were
made to this formula rate.
Regulation and Frequency Response
This service is necessary to provide for the continuous balancing
of resources, generation and interchange with load, as well as for
maintaining scheduled interconnection frequency at sixty cycles per
second. The obligation to maintain this balance between resources and
load lies with the TSP (or the BA who performs this function for the
TSP). DSW (via WALC) must offer this service when transmission is used
to serve load within its BA Area.
The rate is calculated by dividing the annual revenue requirement
for the service (numerator) by the sum of the load within WALC that
requires the service and the generating capacity associated with
variable energy resources (denominator). The numerator includes the
annual costs associated with plant-in-service, operation and
maintenance, purchases of regulation products, purchases of power to
support WALC's ability to regulate, and other related costs involved in
providing the service. The denominator consists of the load within WALC
that requires this service plus the product of the installed nameplate
capacity of solar and wind generators serving load within WALC and the
applicable capacity multipliers.
The denominator has been changed to include the application of
capacity multipliers. Although variable energy resources have not yet
impacted WALC, including the multipliers will allow the formula rate to
more accurately recover potential future costs from customers by
following cost causation principles. WAPA's DSW will set the
multipliers at a value of one until variable energy resources begin to
adversely impact WALC's regulation needs.
Energy Imbalance
This service is provided when differences occur between the
scheduled and the actual delivery of energy to a load located within
the BA Area over a single hour. DSW (via WALC) must offer this service
when transmission is used to serve load within its BA Area.
[[Page 58504]]
The charges for this service are based on a graduated bandwidth
structure. The size of the deviation and whether the deviation occurs
in on-peak or off-peak hours determines settlement. No changes were
made to the deviation bands and settlements for on-peak hours. The
bandwidth structure for off-peak hours was changed to consist of three
deviation bands, similar to the on-peak structure. This aligns with
FERC Order 890 guidelines with appropriate penalty adjustments for WALC
operating conditions.
Spinning Reserve
This service is needed to serve load immediately in the event of a
system contingency and may be provided by generating units that are on-
line and loaded at less than maximum output. DSW (via WALC) must offer
this service when transmission is used to serve load within its BA
Area.
WALC has no resources available to provide this service. DSW may
obtain the service on a pass-through cost basis at market price plus an
administrative fee. No changes were made to this formula rate.
Supplemental Reserve
This service is needed to serve load in the event of a system
contingency. It is not available immediately to serve load but is
generally available within a short period of time after a system
contingency event. DSW (via WALC) must offer this service when
transmission is used to serve load within its BA Area.
WALC has no resources available to provide this service. DSW may
obtain the service on a pass-through cost basis at market price plus an
administrative fee. No changes were made to this formula rate.
Generator Imbalance
This service is provided when differences occur between the output
of a generator located within the BA Area and a delivery schedule from
that generator to another BA Area or a load within the TSP's BA Area
over a single hour. DSW (via WALC) must offer this service, to the
extent it is physically feasible to do so from its resources or from
resources available to it, when transmission is used to deliver energy
from a generator located within its BA Area.
The charges for this service are based on a graduated bandwidth
structure. The size of the deviation and whether the deviation occurs
in on-peak or off-peak hours determines settlement. No changes were
made to the deviation bands and settlements for on-peak hours. The
bandwidth structure for off-peak hours was changed to consist of three
deviation bands, similar to the on-peak structure. This aligns with
FERC Order 890 guidelines with appropriate penalty adjustments for WALC
operating conditions.
Comments
WAPA's DSW received one comment during the public consultation and
comment period. The comment has been paraphrased where appropriate,
without compromising the meaning of the comment.
Comment: Customer supports the rates as developed but requests that
WAPA clarify the obligation to update service agreements in line with
the terms of WAPA's OATT. The customer also asks that WAPA clarify that
the new rates and changes to underlying rate formulas constitute a
change in formula, indicate to the Deputy Secretary what changes are
required to the applicable service agreements, and notify WAPA's
customers when the Deputy Secretary approves the rates on an interim
basis.
Response: Although WAPA believes its process is sufficiently clear,
WAPA will consider clarifying the manner in which it updates service
agreements as currently set forth in WAPA's OATT. However, review of
WAPA's OATT language is outside the scope of this rate adjustment
process. WAPA identifies in the Federal Register notice the new rate
schedules and the changes that were made to the formula rates for
ancillary services. WAPA will notify DSW customers when the Deputy
Secretary approves the formula rates on an interim basis.
Availability of Information
All brochures, studies, comments, letters, memorandums and other
documents used by WAPA's DSW to develop the provisional formula rates
are available for inspection and copying at the Desert Southwest
Regional Office, Western Area Power Administration, 615 South 43rd
Avenue, Phoenix, Arizona. Many of these documents are available on
WAPA's DSW website at: https://www.wapa.gov/regions/DSW/Rates/Pages/ancillary-rates.aspx.
RATEMAKING PROCEDURE REQUIREMENTS
Environmental Compliance
In compliance with the National Environmental Policy Act (NEPA) of
1969, 42 U.S.C. 4321-4347; the Council on Environmental Quality
Regulations for implementing NEPA (40 CFR parts 1500-1508); and DOE
NEPA Implementing Procedures and Guidelines (10 CFR part 1021), WAPA
has determined that this action is categorically excluded from
preparing an environmental assessment or an environmental impact
statement.
Determination Under Executive Order 12866
WAPA has an exemption from centralized regulatory review under
Executive Order 12866; accordingly, no clearance of this notice by the
Office of Management and Budget is required.
Submission to the FERC
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, the formula rates under Rate
Schedules PD-NTS4, INT-NTS4, DSW-TL1, DSW-UU1, DSW-SD4, DSW-RS4, DSW-
FR4, DSW-EI4, DSW-SPR4, DSW-SUR4, and DSW-GI2. These rate schedules are
effective the first full billing period on or after October 1, 2016,
and will remain in effect through September 30, 2021, pending FERC's
confirmation and approval of them or substitute formula rates on a
final basis.
Dated: August 18, 2016.
Elizabeth Sherwood-Randall,
Deputy Secretary of Energy.
Rate Schedule PDP-NTS4
ATTACHMENT H to Tariff
(Supersedes Schedule PDP-NTS3)
UNITED STATES DEPARTMENT OF ENERGY
WESTERN AREA POWER ADMINISTRATION
DESERT SOUTHWEST REGION
Parker-Davis Project
NETWORK INTEGRATION TRANSMISSION SERVICE
Effective
The first day of the first full billing period beginning on or
after October 1, 2016, and will remain in effect through September 30,
2021, or until superseded.
Applicable
Transmission customers will compensate the Parker-Davis Project
each month for Network Integration Transmission Service (Network) under
the applicable Network Agreement and the formula rate described herein.
[[Page 58505]]
Formula Rate
[GRAPHIC] [TIFF OMITTED] TN25AU16.032
Based on the formula rate, the Annual Transmission Revenue
Requirement (ATRR) will be calculated for each fiscal year using
updated financial data. The ATRR will be effective on October 1st of
each year and posted on Western Area Lower Colorado Balancing
Authority's website.
Rate Schedule INT-NTS4
ATTACHMENT H to Tariff
(Supersedes Schedule INT-NTS3)
UNITED STATES DEPARTMENT OF ENERGY
WESTERN AREA POWER ADMINISTRATION
DESERT SOUTHWEST REGION
Pacific Northwest-Pacific Southwest Intertie Project
NETWORK INTEGRATION TRANSMISSION SERVICE
Effective
The first day of the first full billing period beginning on or
after October 1, 2016, and will remain in effect through September 30,
2021, or until superseded.
Applicable
Transmission customers will compensate the Pacific Northwest-
Pacific Southwest Intertie Project each month for Network Integration
Transmission Service (Network) under the applicable Network Agreement
and the formula rate described herein.
Formula Rate
[GRAPHIC] [TIFF OMITTED] TN25AU16.033
Based on the formula rate, the Annual Transmission Revenue
Requirement (ATRR) will be calculated for each fiscal year using
updated financial data. The ATRR will be effective on October 1st of
each year and posted on Western Area Lower Colorado Balancing
Authority's website.
Rate Schedule DSW-TL1
UNITED STATES DEPARTMENT OF ENERGY
WESTERN AREA POWER ADMINISTRATION
DESERT SOUTHWEST REGION
Western Area Lower Colorado Balancing Authority
TRANSMISSION LOSSES SERVICE
Effective
The first day of the first full billing period beginning on or
after October 1, 2016, and will remain in effect through September 30,
2021, or until superseded.
Applicable
Capacity and energy losses occur when a Transmission Service
Provider (TSP) delivers electricity over its transmission facilities
for a transmission customer. The Western Area Lower Colorado Balancing
Authority (WALC) provides this service to TSPs within its Balancing
Authority Area. Transmission losses (losses) are assessed for
transactions on transmission facilities within WALC, unless separate
agreements specify the terms for losses. The losses applicable to
Federal TSPs will be passed directly to transmission customers. The
transmission customer must either purchase this service from WALC or
make alternative comparable arrangements to satisfy their obligations
for losses.
Formula Rate
The loss percentage currently in effect is posted on WALC's website
and may be changed from time to time. Financial settlement for losses
will occur on a monthly basis, unless determined by WALC. Proxy prices
used to determine financial settlement will be derived from the Palo
Verde electricity price indexes, or similar alternative, for on-peak
and off-peak. This pricing information is posted on WALC's website.
Rate Schedule DSW-UU1
SCHEDULE 10 to OATT
UNITED STATES DEPARTMENT OF ENERGY
WESTERN AREA POWER ADMINISTRATION
DESERT SOUTHWEST REGION
Central Arizona Project
Pacific Northwest-Pacific Southwest Intertie Project
Parker-Davis Project
UNRESERVED USE PENALTIES
Effective
The first day of the first full billing period beginning on or
after October 1, 2016, and will remain in effect through September 30,
2021, or until superseded.
Applicable
Unreserved use occurs when a customer uses transmission service it
has not reserved or uses transmission service in excess of its reserved
capacity. Unreserved use may also include a transmission customer's
failure to curtail transmission when requested. The transmission
customer shall compensate the Federal
[[Page 58506]]
Transmission Service Providers (TSP) each month for any unreserved use
of the transmission system.
Penalty Rate
The charge for a transmission customer that engages in unreserved
use is two times the maximum allowable firm point-to-point transmission
rate for the service at issue, assessed as follows:
(1) The penalty for one instance in a single hour is based on the
daily rate;
(2) The penalty for more than one instance for any given duration
(e.g., daily) increases to the next longest duration (e.g., weekly).
A transmission customer that exceeds its reserved capacity at any
point of receipt or point of delivery, or a customer that uses
transmission service at a point of receipt or point of delivery that it
has not reserved, is required to pay for all ancillary services
provided by the Federal TSP and associated with the unreserved use. The
customer will pay for ancillary services based on the amount of
transmission service it used and did not reserve.
Rate Schedule DSW-SD4
SCHEDULE 1 to OATT
(Supersedes Schedule DSW-SD3)
UNITED STATES DEPARTMENT OF ENERGY
WESTERN AREA POWER ADMINISTRATION
Desert Southwest Region and
Western Area Lower Colorado Balancing Authority
SCHEDULING, SYSTEM CONTROL, AND DISPATCH SERVICE
Effective
The first day of the first full billing period beginning on or
after October 1, 2016, and will remain in effect through September 30,
2021, or until superseded.
Applicable
Scheduling, System Control, and Dispatch Service is required to
schedule the movement of power through, out of, within, or into the
Balancing Authority Area (BA Area). This service can be provided only
by the operator in which the transmission facilities used for
transmission service are located. The Western Area Lower Colorado
Balancing Authority (WALC) performs this service for all Transmission
Service Providers (TSPs) within its BA Area. The transmission customer
must purchase this service, unless other arrangements are made with
WALC.
The charge will be applied to all schedules, except for schedules
that return energy in kind to WALC. WALC will accept any number of
scheduling changes during the day without additional charge. The charge
will be allocated equally among all TSPs, both Federal and non-Federal,
listed on schedules inside its BA Area. The Federal transmission
segments of the schedule are exempt from invoicing since the costs for
these segments are included in applicable transmission service rates.
Formula Rate
[GRAPHIC] [TIFF OMITTED] TN25AU16.034
The charge per schedule per day is calculated by dividing the
annual costs associated with scheduling (numerator) by the number of
schedules per year (denominator). The numerator is the annual cost of
transmission scheduling personnel, facilities, equipment, software, and
other related costs involved in providing the service. The denominator
is the yearly total of daily tags which result in a schedule, excluding
schedules that return energy in kind.
Based on the formula rate, the charge will be calculated each
fiscal year using updated financial and schedule data. The charge will
be effective on October 1st of each year and posted on WALC's website.
Rate Schedule DSW-RS4
SCHEDULE 2 to OATT
(Supersedes Schedule DSW-RS3)
UNITED STATES DEPARTMENT OF ENERGY
WESTERN AREA POWER ADMINISTRATION
Desert Southwest Region and
Western Area Lower Colorado Balancing Authority
REACTIVE SUPPLY AND VOLTAGE CONTROL FROM GENERATION SOURCES OR OTHER
SOURCES SERVICE
Effective
The first day of the first full billing period beginning on or
after October 1, 2016, and will remain in effect through September 30,
2021, or until superseded.
Applicable
In order to maintain transmission voltages on the transmission
facilities within acceptable limits, generation facilities and non-
generation resources capable of providing Reactive Supply and Voltage
Control (VAR Support Service) are operated to produce (or absorb)
reactive power. This service must be provided for each transaction on
the transmission facilities within the Balancing Authority (BA) by the
Transmission Service Provider (TSP) or the BA who performs this
function for the TSP.
VAR Support Service will be provided by the Western Area Lower
Colorado Balancing Authority (WALC). Customers of a Federal TSP must
purchase this service from WALC unless the transmission customer has
generating resources capable of providing VARs directly to the Federal
TSP and has executed a contract stipulating all the provisions of their
self-supply. If WALC provides VAR Support Service on behalf of any non-
Federal TSP, this service will be assessed on either the non-Federal
TSP's reserved capacity or the scheduled quantity of the non-Federal
TSP's customers.
Formula Rate
[[Page 58507]]
[GRAPHIC] [TIFF OMITTED] TN25AU16.035
The numerator consists of the annual revenue requirement for
generation multiplied by the percentage of resource capacity used for
providing VAR Support Service. That percentage is based on the
nameplate power factor (one minus the power factor) for the generating
units supplying the service within WALC. The denominator consists of
the transmission transactions within WALC that require this service.
Based on the formula rate, the charge will be calculated each
fiscal year using updated financial and reservation data. The charge
will be effective on October 1st of each year and will be posted on
WALC's website.
Rate Schedule DSW-FR4
SCHEDULE 3 to OATT
(Supersedes Schedule DSW-FR3)
UNITED STATES DEPARTMENT OF ENERGY
WESTERN AREA POWER ADMINISTRATION
Desert Southwest Region and
Western Area Lower Colorado Balancing Authority
REGULATION AND FREQUENCY RESPONSE SERVICE
Effective
The first day of the first full billing period beginning on or
after October 1, 2016, and will remain in effect through September 30,
2021, or until superseded.
Applicable
Regulation and Frequency Response Service (Regulation Service) is
necessary to provide for the continuous balancing of resources,
generation and interchange, with load, and for maintaining scheduled
interconnection frequency at sixty cycles per second (60 Hz). The
obligation to maintain this balance between resources and load lies
with the Transmission Service Provider (TSP) or the Balancing Authority
(BA) who performs this function for the TSP. The Western Area Lower
Colorado Balancing Authority (WALC) performs this function for the
Federal TSPs and must offer this service when transmission is used to
serve load within its Balancing Authority Area (BA Area). Non-Federal
TSPs and customers of Federal TSPs must purchase Regulation Service
from WALC or make alternative comparable arrangements to satisfy their
regulation obligations.
Formula Rate
[GRAPHIC] [TIFF OMITTED] TN25AU16.036
The numerator includes the annual costs associated with plant-in-
service, operation and maintenance, purchase of regulation products,
purchases of power to support WALC's ability to regulate, and other
related costs involved in providing the service. The denominator
consists of the load within WALC that requires this service plus the
product of the installed nameplate capacity of solar and wind
generators serving load within WALC and the applicable capacity
multipliers.
Based on the formula rate, the charge will be calculated each
fiscal year using updated financial and load data. The charge will be
effective on October 1st of each year and will be posted on WALC's
website.
Types of Assessments
There are two different applications of this formula rate:
1) A load-based assessment which is applicable to load within WALC
(total metered load less Federal power allocation, including behind the
meter generation rating, or if available, hourly data if generation is
synchronized) and the installed nameplate capacity of all intermittent
resources serving load within WALC.
2) A self-provision assessment which allows entities with Automatic
Generation Control (AGC) to self-provide for all or a portion of their
loads. Entities with AGC are known as Sub-Balancing Authorities (SBA)
and must meet all of the following criteria: (a) have a well-defined
boundary, with WALC-approved revenue-quality metering, accurate as
defined by the North American Electric Reliability Corporation (NERC),
to include Megawatt (MW) flow data availability at 6-second or smaller
intervals; (b) have AGC responsive unit(s); (c) demonstrate Regulation
Service capability; and (d) execute a contract with WALC, provide all
requested data, and meet the SBA error criteria below.
Self-provision is measured by use of the entity's 1-minute average
Area Control Error (ACE) to determine the amount of self-provision. The
ACE is used to calculate the Regulation Service charges every hour as
follows:
1) If the entity's 1-minute average ACE for the hour is less than
or equal to 0.5 percent of its hourly average load, no charge is
assessed for that hour.
2) If the entity's 1-minute average ACE for the hour is greater
than or equal to 1.5 percent of the entity's hourly average load, WALC
assess charges using the hourly load-based assessment applied to the
entity's peak load for that month.
[[Page 58508]]
3) If the entity's 1-minute average ACE for the hour is greater
than 0.5 percent but less than 1.5 percent of its hourly average load,
WALC assesses charges based on linear interpolation of no charge and
full charge, using the hourly load-based assessment applied to the
entity's peak load for that month.
WALC monitors the entity's self-provision on a regular basis. If WALC
determines that the entity has not been attempting to self-regulate,
WALC will, upon notification, employ the load-based assessment
methodology described above.
Alternative Arrangements
Exporting Intermittent Resource Requirement: An entity that exports
the output from an intermittent generator to another BA Area will be
required to dynamically meter or dynamically schedule that resource out
of WALC to another BA unless arrangements, satisfactory to WALC, are
made for that entity to acquire this service from a third-party or
self-supply (as outlined below). An intermittent generator is one whose
output is volatile and variable due to factors beyond direct
operational control and, therefore, is not dispatchable.
Self- or Third-party Supply: WALC may allow an entity to supply
some or all of its required regulation, or contract with a third party.
This entity must have revenue quality metering at every load and
generation point, with accuracy as defined by NERC, to include MW flow
data availability at 6-second (or smaller) intervals. WALC will
evaluate the entity's metering, telecommunications and regulating
resource, as well as the required level of regulation, to determine
whether the entity qualifies to self-supply under this provision. If
approved, the entity is required to enter into a separate agreement
with WALC which will specify the terms of self-supply.
Customer Accommodation
For entities unwilling to take Regulation Service, self-provide as
described above, or obtain the service from a third party, WALC will
assist the entity in dynamically metering its loads/resources to
another BA. Until such time meter configuration is accomplished, the
entity will be responsible for charges assessed under this schedule.
Rate Schedule DSW-EI4
SCHEDULE 4 to OATT
(Supersedes Schedule DSW-EI3)
UNITED STATES DEPARTMENT OF ENERGY
WESTERN AREA POWER ADMINISTRATION
Desert Southwest Region and Western Area Lower Colorado Balancing
Authority
ENERGY IMBALANCE SERVICE
Effective
The first day of the first full billing period beginning on or
after October 1, 2016, and will remain in effect through September 30,
2021, or until superseded.
Applicable
Energy Imbalance Service is provided when there is a difference
between the scheduled and actual delivery of energy to a load located
within a Balancing Authority Area (BA Area) over a single hour. The
Transmission Service Provider (TSP) or the Balancing Authority (BA) who
performs this function for the TSP must offer this service when
transmission is used to serve load within its BA Area.
The Western Area Lower Colorado Balancing Authority (WALC) performs
this function for the Federal TSP. Customers of a Federal TSP must
purchase this service from WALC or make alternative comparable
arrangements to satisfy their Energy Imbalance obligations. Non-Federal
TSPs must have separate agreements with WALC that specify the terms of
Energy Imbalance Service. WALC may charge a transmission customer for
either energy imbalances under this schedule or generator imbalances
under Schedule 9 for imbalances occurring during the same hour, but not
both unless the imbalances aggravate rather than offset each other.
Formula Rate
Charges for energy imbalances are based on the deviation bands as
follows:
1. For deviations within 1.5 percent (with a minimum of
4 MW) of the metered load, the settlement for on-peak and off-peak
hours is 100 percent.
2. For deviations greater than 1.5 up to 7.5 percent
(or greater than 4 MW up to 10 MW) of the metered load, the settlement
for on-peak hours is 110 percent for under-delivery and 90 percent for
over-delivery, and the settlement for off-peak hours is 110 percent for
under-delivery and 75 percent for over-delivery.
3. For deviations greater than 7.5 percent (or 10 MW)
of the metered load, the settlement for on-peak hours is 125 percent
for under-delivery and 75 percent for over-delivery, and the settlement
for off-peak hours is 125 percent for under-delivery and 60 percent for
over-delivery.
The deviation bands will be applied hourly and any energy imbalances
that occur as a result of the transmission customer's scheduled
transactions will be netted on a monthly basis and settled financially
at the end of the month. For purposes of this schedule, the proxy
prices used to determine financial settlement will be derived from the
Palo Verde electricity price indexes, or similar alternative, for on-
peak and off-peak. WALC may accept settlement in energy in lieu of
financial settlement.
During periods of BA operating constraints, WALC reserves the right
to eliminate credits for over-delivery. The cost to WALC of any penalty
assessed by a regulatory authority due to a violation of operating
standards resulting from under or over-delivery of energy may be passed
through to customers.
Rate Schedule DSW-SPR4
SCHEDULE 5 to OATT
(Supersedes Schedule DSW-SPR3)
UNITED STATES DEPARTMENT OF ENERGY
WESTERN AREA POWER ADMINISTRATION
Desert Southwest Region and Western Area Lower Colorado Balancing
Authority
OPERATING RESERVE--SPINNING RESERVE SERVICE
Effective
The first day of the first full billing period beginning on or
after October 1, 2016, and will remain in effect through September 30,
2021, or until superseded.
Applicable
Spinning Reserve Service is needed to serve load immediately in the
event of a system contingency and may be provided by generating units
that are on-line and loaded at less than maximum output. The
Transmission Service Provider (TSP) or the Balancing Authority (BA) who
performs this function for the TSP must offer this service when
transmission is used to serve load within its BA Area.
The Western Area Lower Colorado Balancing Authority (WALC) performs
this function for the Federal TSP. Customers of a Federal TSP must
[[Page 58509]]
purchase this service from WALC or make alternative arrangements to
satisfy their Spinning Reserve obligations.
Formula Rate
[GRAPHIC] [TIFF OMITTED] TN25AU16.038
WALC has no Spinning Reserves available for sale. Upon request,
WALC will purchase at market price and pass-through the cost plus an
administrative fee that covers the cost of procuring and supplying
Spinning Reserves. The customer will be responsible for providing the
transmission needed to deliver the Spinning Reserves purchased.
Rate Schedule DSW-SUR4
SCHEDULE 6 to OATT
(Supersedes Schedule DSW-SPR3
UNITED STATES DEPARTMENT OF ENERGY
WESTERN AREA POWER ADMINISTRATION
Desert Southwest Region and Western Area Lower Colorado Balancing
Authority
OPERATING RESERVE--SUPPLEMENTAL RESERVE SERVICE
Effective
The first day of the first full billing period beginning on or
after October 1, 2016, and will remain in effect through September 30,
2021, or until superseded.
Applicable
Supplemental Reserve Service is needed to serve load in the event
of a system contingency. It is not available immediately to serve load
but is generally available within a short period of time after a system
contingency event. This service may be provided by generating units
that are on-line but unloaded, by quick-start generation, or by
interruptible load. The Transmission Service Provider (TSP) or the
Balancing Authority (BA) who performs this function for the TSP must
offer this service when transmission is used to serve load within its
BA Area.
The Western Area Lower Colorado Balancing Authority (WALC) performs
this function for the Federal TSP. Customers of a Federal TSP must
purchase this service from WALC or make alternative arrangements to
satisfy their Supplemental Reserve obligations.
Formula Rate
------------------------------------------------------------------------
-------------------------------------------------------------------
Cost of Service = Market Price + Administrative Fee
------------------------------------------------------------------------
WALC has no Supplemental Reserves for sale. Upon request, WALC will
purchase at market price and pass-through the cost plus an
administrative fee that covers the cost of procuring and supplying
Supplemental Reserves. The customer will be responsible for providing
the transmission needed to deliver.
Rate Schedule DSW-GI2
SCHEDULE 9 to OATT
(Supersedes Schedule DSW-GI1)
UNITED STATES DEPARTMENT OF ENERGY
WESTERN AREA POWER ADMINISTRATION
Desert Southwest Region and Western Area Lower Colorado Balancing
Authority
GENERATOR IMBALANCE SERVICE
Effective
The first day of the first full billing period beginning on or
after October 1, 2016, and will remain in effect through September 30,
2021, or until superseded.
Applicable
Generator Imbalance Service is provided when a difference occurs
between the output of a generator located in the Balancing Authority
Area (BA Area) and the delivery schedule from that generator to another
BA Area or a load within the Transmission Service Provider's (TSP) BA
Area over a single hour. The TSP or the Balancing Authority (BA) who
performs this function for the TSP must offer this service, to the
extent it is physically feasible to do so from its resources or from
resources available to it, when transmission is used to deliver energy
from a generator located within its BA Area.
The Western Area Lower Colorado Balancing Authority (WALC) performs
this function for the Federal TSP. Customers of a Federal TSP must
purchase this service from WALC or make alternative comparable
arrangements to satisfy their Generator Imbalance obligations. Non-
Federal TSPs must have separate agreements with WALC that specify the
terms of Generator Imbalance Service. An intermittent resource serving
load outside WALC will be required to dynamically schedule or
dynamically meter their generation to another BA Area unless
arrangements, satisfactory to WALC, are made to acquire this service
from a third-party. An intermittent resource, for the limited purpose
of this 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.
WALC may charge a transmission customer for either generator
imbalances under this schedule or energy imbalances under Schedule 4
for imbalances occurring during the same hour, but not both unless the
imbalances aggravate rather than offset each other.
Formula Rate
Charges for generator imbalances are based on the deviation bands
as follows:
1. For deviations within 1.5 percent (with a minimum of
4 MW) of the metered generation, the settlement for on-peak and off-
peak hours is 100 percent.
2. For deviations greater than 1.5 up to 7.5 percent
(or greater than 4 MW up to 10 MW) of the metered generation, the
settlement for on-peak hours is 110 percent for under-delivery and 90
percent for over-delivery, and the settlement for off-peak hours is 110
percent for under-delivery and 75 percent for over-delivery.
3. For deviations greater than 7.5 percent (or 10 MW)
of the metered generation, the settlement for on-peak hours is 125
percent for under-delivery and 75 percent for over-delivery, and the
settlement for off-peak hours is 125 percent for under-delivery and 60
percent for over-delivery. An intermittent resource will be exempt from
this deviation band but will be subject to the settlement provisions in
the second deviation band for all deviations greater than 7.5 percent (or 10 MW).
The deviation bands will be applied hourly and any generator
imbalances that occur as a result of the transmission customer's
scheduled transactions will be netted on a monthly basis and settled
financially at the end of the month. For purposes of this schedule, the
proxy prices used to determine financial settlement will be derived
from the Palo Verde electricity price indexes, or
[[Page 58510]]
similar alternative, for on-peak and off-peak. WALC may accept
settlement in energy in lieu of financial settlement.
During periods of BA operating constraints, WALC reserves the right
to eliminate credits for over-delivery. The cost to WALC of any penalty
assessed by a regulatory authority due to a violation of operating
standards resulting from under or over-delivery of energy may be passed
through to customers.
[FR Doc. 2016-20397 Filed 8-24-16; 8:45 am]
BILLING CODE 6450-01-P
