Central Valley Project-Rate Order No. WAPA-194, 46083-46086 [2020-16683]
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Federal Register / Vol. 85, No. 148 / Friday, July 31, 2020 / Notices
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Dated: July 27, 2020.
Nathaniel J. Davis, Sr.,
Deputy Secretary.
[FR Doc. 2020–16678 Filed 7–30–20; 8:45 am]
BILLING CODE 6717–01–P
DEPARTMENT OF ENERGY
Western Area Power Administration
Central Valley Project—Rate Order No.
WAPA–194
Western Area Power
Administration, DOE.
ACTION: Notice of proposed formula
rates for Energy Imbalance Market
services, Sale of Surplus Products, and
revisions to existing Energy Imbalance
and Generator Imbalance rate schedules.
AGENCY:
Western Area Power
Administration (WAPA) proposes new
formula rates and revisions to the
existing Energy Imbalance (EI) and
Generator Imbalance (GI) rate schedules
for the Central Valley Project (CVP). The
new rates are associated with two
events: Participation in the California
Independent System Operator’s (CAISO)
Energy Imbalance Market (EIM) and
aligning CVP’s Sale of Surplus Products
(SSP) with other WAPA regions.
DATES: A consultation and comment
period will begin July 31, 2020 and end
October 29, 2020. WAPA will present a
detailed explanation of the proposed
formula rates and other modifications at
a public information forum that will be
held on August 17, 2020, from 9 a.m. to
12 p.m. PDT. WAPA also will host a
public comment forum on August 17,
2020, starting at 1 p.m. which will
remain open until all comments are
acknowledged, or no later than 4 p.m.
PDT. WAPA will conduct both the
public information forum and public
comment forum via WebEx. Instructions
for participating in the forums via
WebEx will be posted on WAPA’s
website at least 14 days prior to the
public information and comment
forums at https://www.wapa.gov/
regions/SN/rates/Pages/Rate-Case-2021WAPA-194.aspx. WAPA will accept
written comments any time during the
consultation and comment period.
ADDRESSES: Written comments and
requests to be informed of Federal
Energy Regulatory Commission (FERC)
actions concerning the proposed
formula rates and other changes
submitted by WAPA to FERC for
approval should be sent to: Ms. Sonja
Anderson, Regional Manager, Sierra
Nevada Region, Western Area Power
Administration, 114 Parkshore Drive,
Folsom, California 95630, or email:
SUMMARY:
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SNR-RateCase@wapa.gov. WAPA will
post information about the proposed
formula rates, other changes and written
comments received to its website at:
https://www.wapa.gov/regions/SN/
rates/Pages/Rate-Case-2021-WAPA194.aspx.
FOR FURTHER INFORMATION CONTACT: Ms.
Autumn Wolfe, Rates Manager, Sierra
Nevada Region, Western Area Power
Administration, (916) 353–4686 or
email: SNR-RateCase@wapa.gov.
SUPPLEMENTARY INFORMATION: To
accommodate WAPA’s participation in
EIM as a Transmission Provider within
the Balancing Authority of Northern
California (BANC) Balancing Authority
Area (BAA), WAPA is proposing new
formula rate schedules for: (1) EIM
Administrative Service (CV–EIM1S), (2)
EIM EI Service (CV–EIM4S), and (3) EIM
GI Service (CV–EIM9S). WAPA is
planning to participate in the EIM
through BANC as the Balancing
Authority and EIM Entity for the WAPA
Sub-Balancing Authority Area (SubBAA). EIM settles EI and GI services
differently than WAPA’s existing rate
schedules for similar services. In EIM,
CAISO economically dispatches energy
under its EIM Tariff to meet the
imbalances for loads and resources over
multiple BAAs. CAISO provides a
centralized, automated, and region-wide
dispatch for imbalances. The proposed
new EIM Administrative Services
formula rate would allow WAPA to pass
through administrative costs incurred
by WAPA resulting from its
participation in EIM as a Transmission
Provider. The proposed new formula
rates and cost allocation for
Administrative, EI and GI services
would be in effect when WAPA is
participating in the EIM, and to the
extent WAPA incurs associated
settlements during market suspension or
contingency.
In no relation to EIM, WAPA proposes
revising existing rate schedules for EI
services (CV–EID4) and GI services (CV–
GID1). WAPA proposes to settle EI
services financially rather than with
energy. The proposed component one
modification to both EI and GI
schedules is: ‘‘[EI service/GI service] is
applied to deviations as follows unless
otherwise dictated by contract or policy:
(1) Deviations within the bandwidth
will be tracked and settled financially,
at the greater of the California
Independent System Operator market
price, or WAPA’s actual cost.’’ The GI
schedule further adds to component
one: ‘‘to the extent that an entity
incorporates intermittent resources,
deviations will be charged as follows
unless otherwise dictated by contract or
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policy: (1) Deviations within the
bandwidth will be tracked and settled
financially at the greater of the
California Independent System Operator
market price or WAPA’s actual cost.’’
The revised EI services (CV–EID5) and
GI services (CV–GID2) rate schedules
would remain in effect when the EIM
has been suspended.
In addition to the changes to
accommodate EIM, WAPA Sierra
Nevada Region (SN) is proposing a new
rate schedule for the sale of surplus
products (CV–SSP1) to make its
practices consistent with other WAPA
regions. This new formula rate would be
for the sale of surplus energy and
capacity products such as: Energy,
regulation, reserves, frequency response,
and resource sufficiency.
The proposed rates will provide
WAPA with sufficient revenue to
recover annual Operation, Maintenance
and Replacement (OM&R) expenses,
interest expense, aid to irrigation, and
capital repayment requirements while
ensuring repayment of the project
within the cost recovery criteria set
forth in Department of Energy (DOE)
Order Resource Application 6120.2.
WAPA’s proposed formula rates
would go into effect on April 1, 2021
and remain in effect until December 31,
2024, or until WAPA changes the
formula rates through another public
rate process pursuant to 10 CFR part
903, whichever occurs first.
EIM Administrative Service Charge
WAPA proposes a new rate schedule,
CV–EIM1S. This rate would apply
under Schedule 1S of the WAPA Tariff.
Rates under CV–EIM1S would apply
when WAPA, as Transmission Provider,
is participating in EIM and when EIM
has not been suspended. EIM
Administrative service and associated
rates would apply in addition to the
services provided under Schedule 1 of
the WAPA Tariff, which are
incorporated in existing WAPA
transmission service rates. To the extent
WAPA incurs EIM Administrative
service related charges during periods of
market suspension or contingency, as
described in Section 11 of Attachment
S to the WAPA Tariff, Schedule 1S and
CV–EIM1S shall also apply to ensure
that WAPA, as Transmission Provider,
remains revenue-neutral for its
participation in EIM.
EIM Administrative service recovers
the administrative costs for participating
in the EIM by WAPA as a Transmission
Provider including, but not limited to,
such administrative charges as may be
incurred by WAPA from the EIM Market
Operator (MO) and those MO charges
passed through by the EIM Entity.
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Unless such charges are allocated to
the Transmission Customer directly by
the EIM Entity, all Transmission
Customers purchasing Long-Term Firm
Point-to-Point Transmission Service,
Short-Term Firm Point-to-Point
Transmission Service, Non-Firm Pointto-Point Transmission Service, or
Network Integration Transmission
Service from WAPA would be required
to acquire EIM Administrative Service
from WAPA.
Under the proposal, the EIM MO’s
administrative service charge, as
defined in the MO Tariff, would be
included in this rate. This rate also
includes administrative charges
assessed to WAPA by the EIM Entity
based on net energy load within the
WAPA Sub-BAA. The new proposed
formula rate for EIM Administrative
Service Charge would be sub-allocated
to WAPA’s Transmission Customers
based on load ratio share for the time
period in which WAPA incurs EIM
administrative costs.
WAPA’s costs for EIM start up,
including software, hardware, or other
features, to implement EIM, would not
be included as administrative costs
under this schedule. WAPA proposes to
treat its startup costs for EIM under the
cost allocations procedures discussed
under the Energy Imbalance Market Cost
Allocation heading below.
EIM Energy Imbalance (EI) Service
WAPA proposes a new rate schedule,
CV–EIM4S. This rate would apply
under Schedule 4S of the WAPA Tariff.
Rates under CV–EIM4S would apply
when WAPA, as Transmission Provider,
is participating in EIM and when EIM
has not been suspended. In accordance
with Section 11 of Attachment S to the
WAPA Tariff, Schedule 4 of the WAPA
Tariff would apply when WAPA is not
participating in EIM or when EIM has
been suspended. To the extent WAPA
incurs EIM EI service related charges
from the EIM Entity during periods of
market suspension or contingency, as
described in Section 11 of Attachment
S to the WAPA Tariff, Schedule 4S and
CV–EIM4S would also apply to ensure
that WAPA, as Transmission Provider,
remains revenue-neutral for its
participation in the EIM.
EI service is provided when a
difference occurs between the
scheduled and the actual delivery of
energy to a load located within the
WAPA Sub-BAA. WAPA offers this
service when transmission service is
used to serve load within the WAPA
Sub-BAA.
Unless subsequently imposed by the
MO as part of the MO Tariff and
promulgated by WAPA through rate
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proceedings, there would be no
incremental transmission charge
assessed for transmission use related to
EIM EI service. Transmission Customers
must have transmission service rights,
as set forth in Attachment S of WAPA’s
Open Access Transmission Tariff
(OATT).
The formula rate for EI service is the
deviation of the Transmission
Customer’s metered load compared to
the load component of the Base
Schedule settled as Uninstructed
Imbalance Energy (UIE) for the period of
the deviation at the applicable Load
Aggregation Point (LAP) price where the
load is located.
Unless such charges are allocated to
the Transmission Customer directly by
the EIM Entity, a Transmission
Customer would be responsible for any
pass-through charges/credits associated
with applicable EI service charges
allocated to WAPA, as Transmission
Provider, for its participation in the
EIM, in accordance with this rate
schedule. WAPA would sub-allocate
load charges based on a Transmission
Customer’s load ratio share.
EIM Generator Imbalance (GI) Service
WAPA proposes new rate schedule,
CV–EIM9S. This rate would apply
under Schedule 9S of the WAPA Tariff.
Rates under CV–EIM9S would apply
when WAPA, as Transmission Provider,
is participating in EIM and when EIM
has not been suspended. In accordance
with Section 11 of Attachment S to the
WAPA Tariff, Schedule 9 of the WAPA
Tariff would apply when WAPA is not
participating in the EIM and when the
EIM has been suspended. To the extent
WAPA incurs EIM GI Service related
charges from the EIM Entity during
periods of market suspension or
contingency, as described in Section 11
of Attachment S to the WAPA Tariff,
Schedule 9S and CV–EIM9S would also
apply to ensure WAPA, as Transmission
Provider, remains revenue neutral for its
participation in EIM.
GI service is provided when a
difference occurs between the output of
a generator that is not an EIM
Participating Resource located in the
WAPA Sub-BAA, as reflected in the
resource component of the
Transmission Customer Base Schedule,
and the delivery schedule from that
generator to (1) another BAA, (2) the
BANC BAA, or (3) a load within the
WAPA Sub-BAA.
Unless subsequently imposed by the
MO as part of the MO Tariff and
promulgated by WAPA through rate
proceedings, there would be no
incremental transmission charge
assessed for transmission use related to
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EIM GI service. Transmission Customers
must have transmission service rights,
as set forth in Attachment S of WAPA’s
OATT.
WAPA’s formula rate for GI services
does not have a direct rate component
for GI services for Non-Participating
Resources. WAPA expects all
Participating Resources to directly settle
with CAISO. However, if charges are
allocated to the Transmission Provider
by the EIM Entity, a Transmission
Customer would be responsible for any
pass-through charges/credits associated
with applicable GI Service charges
allocated to WAPA, as Transmission
Provider, for its participation in EIM, in
accordance with this rate schedule.
Such charges may include those due to
operational adjustments of any affected
Interchange. WAPA would direct assign
charges and/or sub-allocate charges
based on the Transmission Customer’s
load ratio share. The EIM Entity does
not allow Non-Participating Resources.
In the event the EIM Entity modifies it
procedures to allow Non-Participating
Resources, WAPA may update this rate.
Sale of Surplus Products (SSP)
WAPA–SN has traditionally marketed
surplus products such as energy,
regulation, and reserves through
negotiated rates and under bilateral
contracts. WAPA is proposing to add a
new rate schedule, CV–SSP1, to make
WAPA–SN’s practices consistent with
other WAPA regions. This proposed rate
would be for the sale of surplus energy
and/or capacity products. This includes:
(1) Energy, (2) Frequency Response, (3)
Regulation, (4) Reserves, and (5)
Resource Sufficiency. If any surplus
products are available, WAPA could
make the product(s) available for sale,
provided entities enter into separate
agreement(s) which would specify the
terms of sale(s).
WAPA would determine the charge
for each product at the time of sale to
be the greater of WAPA’s cost or market
rates to include transmission charges.
WAPA would use a separate
agreement(s) to specify the terms of
sale(s). The customer would be
responsible for acquiring additional
transmission service necessary to
deliver the product(s), for which a
separate charge may be incurred from
the transmission provider.
WAPA proposes to include two new
products for sale: Frequency Response
Reserve (FRR) and Resource Sufficiency.
FRR is a new product requirement based
on Reliability Standard BAL–003–1.1, as
approved by North American Electric
Reliability Corporation. FRR is used to
serve load immediately in the event of
a system contingency. Generating units
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that are on-line and generating at less
than maximum output provide these
reserves. FRR supplies capacity that is
available immediately to serve load and
is synchronized with the power system.
BANC is implementing this requirement
in April 2021, and WAPA therefore
proposes inclusion of FRR in this
proposed rate.
Resource Sufficiency product
supplies capacity for EIM balancing
resources and load. WAPA bids energy
into the EIM market for immediate
dispatch. Resource Sufficiency is not a
spin or regulation product. It is a new
product available to BANC EIM
members as a balancing product.
WAPA’s Merchant is responsible for
and handles the supply of the product;
as a result, WAPA proposes adjustments
to the EIM base schedule market
submission.
Energy Imbalance Market Cost
Allocation
WAPA is proposing a cost allocation
methodology for EIM implementation
costs and net EIM ongoing charges and/
or benefits to flow through to the CVP
Power Revenue Requirement (PRR).
WAPA proposes BANC, WAPA, and
Reclamation EIM implementation costs
be recovered over a period not to exceed
three years. WAPA has identified four
separate categories to allocate ongoing
charges and/or benefits: (1) Conforming
loads; (2) non-conforming loads; (3)
small loads; and (4) statutory loads.
A conforming load is a type of load
generally associated with a weatherbased element, which is somewhat
predictable based on given conditions.
For conforming loads, WAPA proposes
to allocate the net EIM ongoing cost
and/or net benefits to the CVP PRR.
A non-conforming load changes
abnormally—such as a factory that
consumes high demand intermittently.
For non-conforming loads, WAPA
proposes to allocate the net EIM ongoing
charges and/or benefits directly to the
customer(s) with the non-conforming
load(s), in accordance with WAPA’s
applicable business practice posted on
its Open Access Same-time Information
System (OASIS), or at https://
www.oasis.oati.com/wasn/.
For customers with loads less than
one megawatt and are too small to
identify, WAPA proposes to allocate
EIM implementation costs and net
ongoing charges and/or benefits to the
CVP PRR. WAPA proposes to assign
load charges and/or benefits for those
customers with statutory obligations,
such as Project Use, to the CVP PRR.
Under this proposal, customers with
small loads or with statutory obligations
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46085
will not directly pay nor benefit from
EIM charges.
Legal Authority
Existing DOE procedures for public
participation in power and transmission
rate adjustments (10 CFR part 903) were
published on September 18, 1985, and
February 21, 2019.1 The proposed
action constitutes a minor rate
adjustment, as defined by 10 CFR
903.2(e). In accordance with 10 CFR
903.15(a) and 10 CFR 903.16(a), WAPA
will hold public information and public
comment forums for this rate
adjustment. WAPA will review and
consider all timely public comments at
the conclusion of the consultation and
comment period and make amendments
or adjustments to the proposal as
appropriate.
WAPA is establishing the formula
rates for CVP in accordance with section
302 of the 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
(Reclamation) under the Reclamation
Act of 1902 (ch. 1093, 32 Stat. 388), as
amended and supplemented by
subsequent laws, particularly section
9(c) of the Reclamation Project Act of
1939 (43 U.S.C. 485h(c)); and other acts
that specifically apply to the project
involved.
By Delegation Order No. 00–037.00B,
effective November 19, 2016, the
Secretary of Energy delegated: (1) The
authority to develop power and
transmission rates to WAPA’s
Administrator; (2) the authority to
confirm, approve, and place such rates
into effect on an interim basis to the
Deputy Secretary of Energy; and (3) the
authority to confirm, approve, and place
into effect on a final basis, or to remand
or disapprove such rates, to FERC. By
Delegation Order No. 00–002.00S,
effective January 15, 2020, the Secretary
of Energy also delegated the authority to
confirm, approve, and place such rates
into effect on an interim basis to the
Under Secretary of Energy. By
Redelegation Order No. 00–002.10E,
effective February 14, 2020, the Under
Secretary of Energy further delegated
the authority to confirm, approve, and
place such rates into effect on an
interim basis to the Assistant Secretary
for Electricity. By Redelegation Order
No. 00–002.10–5, effective July 8, 2020,
the Assistant Secretary for Electricity
further delegated the authority to
confirm, approve, and place such rates
1 50 FR 37835 (Sept. 18, 1985) and 84 FR 5347
(Feb. 21, 2019).
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into effect on an interim basis to
WAPA’s Administrator. This rate action
is issued under Redelegation Order No.
00–002.10–05 and Department of Energy
(DOE) procedures for public
participation in rate adjustments set
forth at 10 CFR part 903.
Availability of Information
All brochures, studies, comments,
letters, memorandums, or other
documents that WAPA initiates or uses
to develop the proposed formula rates
are available on WAPA’s website at
https://www.wapa.gov/regions/SN/
rates/Pages/Rate-Case-2021-WAPA194.aspx.
Ratemaking Procedure Requirements
Environmental Compliance
WAPA is in the process of
determining whether an environmental
assessment or an environmental impact
statement should be prepared, or if this
action can be categorically excluded
from those requirements.2
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.
Signing Authority
This document of the Department of
Energy was signed on July 24, 2020, by
Mark A. Gabriel, Administrator,
Western Area Power Administration,
pursuant to delegated authority from the
Secretary of Energy. That document,
with the original signature and date, is
maintained by DOE. For administrative
purposes only, and in compliance with
requirements of the Office of the Federal
Register, the undersigned DOE Federal
Register Liaison Officer has been
authorized to sign and submit the
document in electronic format for
publication, as an official document of
the Department of Energy. This
administrative process in no way alters
the legal effect of this document upon
publication in the Federal Register.
Signed in Washington, DC, on July 28,
2020.
Treena V. Garrett,
Federal Register Liaison Officer, U.S.
Department of Energy.
[FR Doc. 2020–16683 Filed 7–30–20; 8:45 am]
BILLING CODE 6450–01–P
2 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).
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ENVIRONMENTAL PROTECTION
AGENCY
[EPA–HQ–OW–2006–0369; FRL–10013–08–
OMS]
Information Collection Request
Submitted to OMB for Review and
Approval; Comment Request; National
Estuary Program (Renewal)
Environmental Protection
Agency (EPA).
ACTION: Notice.
AGENCY:
The Environmental Protection
Agency (EPA) has submitted an
information collection request (ICR),
National Estuary Program (EPA ICR
Number 1500.10, OMB Control Number
2040–0138) to the Office of Management
and Budget (OMB) for review and
approval in accordance with the
Paperwork Reduction Act. This is a
proposed extension of the ICR, which is
currently approved through September
30, 2020. Public comments were
previously requested via the Federal
Register on December 26, 2019 during a
60-day comment period. This notice
allows for an additional 30 days for
public comments. A fuller description
of the ICR is given below, including its
estimated burden and cost to the public.
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: Additional comments may be
submitted on or before August 31, 2020.
ADDRESSES: Submit your comments to
EPA, referencing Docket ID No. EPA–
HQ–OW–2006–0369, online using
www.regulations.gov (our preferred
method), by email to OW-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 the comment includes
profanity, threats, information claimed
to be Confidential Business Information
(CBI), or other information whose
disclosure is restricted by statute.
Submit written comments and
recommendations to OMB for the
proposed information collection within
30 days of publication of this notice to
www.reginfo.gov/public/do/PRAMain.
Find this particular information
collection by selecting ‘‘Currently under
30-day Review—Open for Public
Comments’’ or by using the search
function.
SUMMARY:
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FOR FURTHER INFORMATION CONTACT:
Vince Bacalan, Oceans, Wetlands, and
Communities Division; Office of
Wetlands, Oceans, and Watersheds,
Mail Code 4504T, Environmental
Protection Agency, 1200 Pennsylvania
Ave. NW, Washington, DC 20460;
telephone number: 202–566–0930; fax
number: 202–566–1336; email address:
bacalan.vince@epa.gov.
SUPPLEMENTARY INFORMATION:
Supporting documents, which explain
in detail the information that 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.
Abstract: The National Estuary
Program (NEP) involves collecting
information from the state or local
agency or nongovernmental
organizations that receive funds under
Sec. 320 of the Clean Water Act (CWA).
The regulation requiring this
information is found at 40 CFR part 35.
Prospective grant recipients seek
funding to develop or oversee and
coordinate implementation of
Comprehensive Conservation
Management Plans (CCMPs) for
estuaries of national significance. In
order to receive funds, grantees must
submit an annual workplan to EPA
which are used to track performance of
each of the 28 estuary programs
currently in the NEP. EPA provides
funding to NEPs to support long-term
implementation of CCMPs if such
programs pass a program evaluation
process. The primary purpose of the
program evaluation process is to help
EPA determine whether the 28 programs
included in the National Estuary
Program (NEP) are making adequate
progress implementing their CCMPs and
therefore merit continued funding under
Sec. 320 of the Clean Water Act. EPA
also requests that each of the 28 NEPs
receiving Sec. 320 funds report
information that can be used in the
GPRA reporting process. This reporting
is done on an annual basis and is used
to show environmental results that are
being achieved within the overall
National Estuary Program. This
information is ultimately submitted to
Congress along with GPRA information
from other EPA programs.
Form Numbers: None.
Respondents/affected entities: State or
local agencies or nongovernmental
E:\FR\FM\31JYN1.SGM
31JYN1
]]>Agencies
[Federal Register Volume 85, Number 148 (Friday, July 31, 2020)]
[Notices]
[Pages 46083-46086]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2020-16683]
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DEPARTMENT OF ENERGY
Western Area Power Administration
Central Valley Project--Rate Order No. WAPA-194
AGENCY: Western Area Power Administration, DOE.
ACTION: Notice of proposed formula rates for Energy Imbalance Market
services, Sale of Surplus Products, and revisions to existing Energy
Imbalance and Generator Imbalance rate schedules.
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SUMMARY: Western Area Power Administration (WAPA) proposes new formula
rates and revisions to the existing Energy Imbalance (EI) and Generator
Imbalance (GI) rate schedules for the Central Valley Project (CVP). The
new rates are associated with two events: Participation in the
California Independent System Operator's (CAISO) Energy Imbalance
Market (EIM) and aligning CVP's Sale of Surplus Products (SSP) with
other WAPA regions.
DATES: A consultation and comment period will begin July 31, 2020 and
end October 29, 2020. WAPA will present a detailed explanation of the
proposed formula rates and other modifications at a public information
forum that will be held on August 17, 2020, from 9 a.m. to 12 p.m. PDT.
WAPA also will host a public comment forum on August 17, 2020, starting
at 1 p.m. which will remain open until all comments are acknowledged,
or no later than 4 p.m. PDT. WAPA will conduct both the public
information forum and public comment forum via WebEx. Instructions for
participating in the forums via WebEx will be posted on WAPA's website
at least 14 days prior to the public information and comment forums at
https://www.wapa.gov/regions/SN/rates/Pages/Rate-Case-2021-WAPA-194.aspx. WAPA will accept written comments any time during the
consultation and comment period.
ADDRESSES: Written comments and requests to be informed of Federal
Energy Regulatory Commission (FERC) actions concerning the proposed
formula rates and other changes submitted by WAPA to FERC for approval
should be sent to: Ms. Sonja Anderson, Regional Manager, Sierra Nevada
Region, Western Area Power Administration, 114 Parkshore Drive, Folsom,
California 95630, or email: [email protected]. WAPA will post
information about the proposed formula rates, other changes and written
comments received to its website at: https://www.wapa.gov/regions/SN/rates/Pages/Rate-Case-2021-WAPA-194.aspx.
FOR FURTHER INFORMATION CONTACT: Ms. Autumn Wolfe, Rates Manager,
Sierra Nevada Region, Western Area Power Administration, (916) 353-4686
or email: [email protected].
SUPPLEMENTARY INFORMATION: To accommodate WAPA's participation in EIM
as a Transmission Provider within the Balancing Authority of Northern
California (BANC) Balancing Authority Area (BAA), WAPA is proposing new
formula rate schedules for: (1) EIM Administrative Service (CV-EIM1S),
(2) EIM EI Service (CV-EIM4S), and (3) EIM GI Service (CV-EIM9S). WAPA
is planning to participate in the EIM through BANC as the Balancing
Authority and EIM Entity for the WAPA Sub-Balancing Authority Area
(Sub-BAA). EIM settles EI and GI services differently than WAPA's
existing rate schedules for similar services. In EIM, CAISO
economically dispatches energy under its EIM Tariff to meet the
imbalances for loads and resources over multiple BAAs. CAISO provides a
centralized, automated, and region-wide dispatch for imbalances. The
proposed new EIM Administrative Services formula rate would allow WAPA
to pass through administrative costs incurred by WAPA resulting from
its participation in EIM as a Transmission Provider. The proposed new
formula rates and cost allocation for Administrative, EI and GI
services would be in effect when WAPA is participating in the EIM, and
to the extent WAPA incurs associated settlements during market
suspension or contingency.
In no relation to EIM, WAPA proposes revising existing rate
schedules for EI services (CV-EID4) and GI services (CV-GID1). WAPA
proposes to settle EI services financially rather than with energy. The
proposed component one modification to both EI and GI schedules is:
``[EI service/GI service] is applied to deviations as follows unless
otherwise dictated by contract or policy: (1) Deviations within the
bandwidth will be tracked and settled financially, at the greater of
the California Independent System Operator market price, or WAPA's
actual cost.'' The GI schedule further adds to component one: ``to the
extent that an entity incorporates intermittent resources, deviations
will be charged as follows unless otherwise dictated by contract or
[[Page 46084]]
policy: (1) Deviations within the bandwidth will be tracked and settled
financially at the greater of the California Independent System
Operator market price or WAPA's actual cost.'' The revised EI services
(CV-EID5) and GI services (CV-GID2) rate schedules would remain in
effect when the EIM has been suspended.
In addition to the changes to accommodate EIM, WAPA Sierra Nevada
Region (SN) is proposing a new rate schedule for the sale of surplus
products (CV-SSP1) to make its practices consistent with other WAPA
regions. This new formula rate would be for the sale of surplus energy
and capacity products such as: Energy, regulation, reserves, frequency
response, and resource sufficiency.
The proposed rates will provide WAPA with sufficient revenue to
recover annual Operation, Maintenance and Replacement (OM&R) expenses,
interest expense, aid to irrigation, and capital repayment requirements
while ensuring repayment of the project within the cost recovery
criteria set forth in Department of Energy (DOE) Order Resource
Application 6120.2.
WAPA's proposed formula rates would go into effect on April 1, 2021
and remain in effect until December 31, 2024, or until WAPA changes the
formula rates through another public rate process pursuant to 10 CFR
part 903, whichever occurs first.
EIM Administrative Service Charge
WAPA proposes a new rate schedule, CV-EIM1S. This rate would apply
under Schedule 1S of the WAPA Tariff. Rates under CV-EIM1S would apply
when WAPA, as Transmission Provider, is participating in EIM and when
EIM has not been suspended. EIM Administrative service and associated
rates would apply in addition to the services provided under Schedule 1
of the WAPA Tariff, which are incorporated in existing WAPA
transmission service rates. To the extent WAPA incurs EIM
Administrative service related charges during periods of market
suspension or contingency, as described in Section 11 of Attachment S
to the WAPA Tariff, Schedule 1S and CV-EIM1S shall also apply to ensure
that WAPA, as Transmission Provider, remains revenue-neutral for its
participation in EIM.
EIM Administrative service recovers the administrative costs for
participating in the EIM by WAPA as a Transmission Provider including,
but not limited to, such administrative charges as may be incurred by
WAPA from the EIM Market Operator (MO) and those MO charges passed
through by the EIM Entity.
Unless such charges are allocated to the Transmission Customer
directly by the EIM Entity, all Transmission Customers purchasing Long-
Term Firm Point-to-Point Transmission Service, Short-Term Firm Point-
to-Point Transmission Service, Non-Firm Point-to-Point Transmission
Service, or Network Integration Transmission Service from WAPA would be
required to acquire EIM Administrative Service from WAPA.
Under the proposal, the EIM MO's administrative service charge, as
defined in the MO Tariff, would be included in this rate. This rate
also includes administrative charges assessed to WAPA by the EIM Entity
based on net energy load within the WAPA Sub-BAA. The new proposed
formula rate for EIM Administrative Service Charge would be sub-
allocated to WAPA's Transmission Customers based on load ratio share
for the time period in which WAPA incurs EIM administrative costs.
WAPA's costs for EIM start up, including software, hardware, or
other features, to implement EIM, would not be included as
administrative costs under this schedule. WAPA proposes to treat its
startup costs for EIM under the cost allocations procedures discussed
under the Energy Imbalance Market Cost Allocation heading below.
EIM Energy Imbalance (EI) Service
WAPA proposes a new rate schedule, CV-EIM4S. This rate would apply
under Schedule 4S of the WAPA Tariff. Rates under CV-EIM4S would apply
when WAPA, as Transmission Provider, is participating in EIM and when
EIM has not been suspended. In accordance with Section 11 of Attachment
S to the WAPA Tariff, Schedule 4 of the WAPA Tariff would apply when
WAPA is not participating in EIM or when EIM has been suspended. To the
extent WAPA incurs EIM EI service related charges from the EIM Entity
during periods of market suspension or contingency, as described in
Section 11 of Attachment S to the WAPA Tariff, Schedule 4S and CV-EIM4S
would also apply to ensure that WAPA, as Transmission Provider, remains
revenue-neutral for its participation in the EIM.
EI service is provided when a difference occurs between the
scheduled and the actual delivery of energy to a load located within
the WAPA Sub-BAA. WAPA offers this service when transmission service is
used to serve load within the WAPA Sub-BAA.
Unless subsequently imposed by the MO as part of the MO Tariff and
promulgated by WAPA through rate proceedings, there would be no
incremental transmission charge assessed for transmission use related
to EIM EI service. Transmission Customers must have transmission
service rights, as set forth in Attachment S of WAPA's Open Access
Transmission Tariff (OATT).
The formula rate for EI service is the deviation of the
Transmission Customer's metered load compared to the load component of
the Base Schedule settled as Uninstructed Imbalance Energy (UIE) for
the period of the deviation at the applicable Load Aggregation Point
(LAP) price where the load is located.
Unless such charges are allocated to the Transmission Customer
directly by the EIM Entity, a Transmission Customer would be
responsible for any pass-through charges/credits associated with
applicable EI service charges allocated to WAPA, as Transmission
Provider, for its participation in the EIM, in accordance with this
rate schedule. WAPA would sub-allocate load charges based on a
Transmission Customer's load ratio share.
EIM Generator Imbalance (GI) Service
WAPA proposes new rate schedule, CV-EIM9S. This rate would apply
under Schedule 9S of the WAPA Tariff. Rates under CV-EIM9S would apply
when WAPA, as Transmission Provider, is participating in EIM and when
EIM has not been suspended. In accordance with Section 11 of Attachment
S to the WAPA Tariff, Schedule 9 of the WAPA Tariff would apply when
WAPA is not participating in the EIM and when the EIM has been
suspended. To the extent WAPA incurs EIM GI Service related charges
from the EIM Entity during periods of market suspension or contingency,
as described in Section 11 of Attachment S to the WAPA Tariff, Schedule
9S and CV-EIM9S would also apply to ensure WAPA, as Transmission
Provider, remains revenue neutral for its participation in EIM.
GI service is provided when a difference occurs between the output
of a generator that is not an EIM Participating Resource located in the
WAPA Sub-BAA, as reflected in the resource component of the
Transmission Customer Base Schedule, and the delivery schedule from
that generator to (1) another BAA, (2) the BANC BAA, or (3) a load
within the WAPA Sub-BAA.
Unless subsequently imposed by the MO as part of the MO Tariff and
promulgated by WAPA through rate proceedings, there would be no
incremental transmission charge assessed for transmission use related
to
[[Page 46085]]
EIM GI service. Transmission Customers must have transmission service
rights, as set forth in Attachment S of WAPA's OATT.
WAPA's formula rate for GI services does not have a direct rate
component for GI services for Non-Participating Resources. WAPA expects
all Participating Resources to directly settle with CAISO. However, if
charges are allocated to the Transmission Provider by the EIM Entity, a
Transmission Customer would be responsible for any pass-through
charges/credits associated with applicable GI Service charges allocated
to WAPA, as Transmission Provider, for its participation in EIM, in
accordance with this rate schedule. Such charges may include those due
to operational adjustments of any affected Interchange. WAPA would
direct assign charges and/or sub-allocate charges based on the
Transmission Customer's load ratio share. The EIM Entity does not allow
Non-Participating Resources. In the event the EIM Entity modifies it
procedures to allow Non-Participating Resources, WAPA may update this
rate.
Sale of Surplus Products (SSP)
WAPA-SN has traditionally marketed surplus products such as energy,
regulation, and reserves through negotiated rates and under bilateral
contracts. WAPA is proposing to add a new rate schedule, CV-SSP1, to
make WAPA-SN's practices consistent with other WAPA regions. This
proposed rate would be for the sale of surplus energy and/or capacity
products. This includes: (1) Energy, (2) Frequency Response, (3)
Regulation, (4) Reserves, and (5) Resource Sufficiency. If any surplus
products are available, WAPA could make the product(s) available for
sale, provided entities enter into separate agreement(s) which would
specify the terms of sale(s).
WAPA would determine the charge for each product at the time of
sale to be the greater of WAPA's cost or market rates to include
transmission charges. WAPA would use a separate agreement(s) to specify
the terms of sale(s). The customer would be responsible for acquiring
additional transmission service necessary to deliver the product(s),
for which a separate charge may be incurred from the transmission
provider.
WAPA proposes to include two new products for sale: Frequency
Response Reserve (FRR) and Resource Sufficiency. FRR is a new product
requirement based on Reliability Standard BAL-003-1.1, as approved by
North American Electric Reliability Corporation. FRR is used to serve
load immediately in the event of a system contingency. Generating units
that are on-line and generating at less than maximum output provide
these reserves. FRR supplies capacity that is available immediately to
serve load and is synchronized with the power system. BANC is
implementing this requirement in April 2021, and WAPA therefore
proposes inclusion of FRR in this proposed rate.
Resource Sufficiency product supplies capacity for EIM balancing
resources and load. WAPA bids energy into the EIM market for immediate
dispatch. Resource Sufficiency is not a spin or regulation product. It
is a new product available to BANC EIM members as a balancing product.
WAPA's Merchant is responsible for and handles the supply of the
product; as a result, WAPA proposes adjustments to the EIM base
schedule market submission.
Energy Imbalance Market Cost Allocation
WAPA is proposing a cost allocation methodology for EIM
implementation costs and net EIM ongoing charges and/or benefits to
flow through to the CVP Power Revenue Requirement (PRR). WAPA proposes
BANC, WAPA, and Reclamation EIM implementation costs be recovered over
a period not to exceed three years. WAPA has identified four separate
categories to allocate ongoing charges and/or benefits: (1) Conforming
loads; (2) non-conforming loads; (3) small loads; and (4) statutory
loads.
A conforming load is a type of load generally associated with a
weather-based element, which is somewhat predictable based on given
conditions. For conforming loads, WAPA proposes to allocate the net EIM
ongoing cost and/or net benefits to the CVP PRR.
A non-conforming load changes abnormally--such as a factory that
consumes high demand intermittently. For non-conforming loads, WAPA
proposes to allocate the net EIM ongoing charges and/or benefits
directly to the customer(s) with the non-conforming load(s), in
accordance with WAPA's applicable business practice posted on its Open
Access Same-time Information System (OASIS), or at https://www.oasis.oati.com/wasn/.
For customers with loads less than one megawatt and are too small
to identify, WAPA proposes to allocate EIM implementation costs and net
ongoing charges and/or benefits to the CVP PRR. WAPA proposes to assign
load charges and/or benefits for those customers with statutory
obligations, such as Project Use, to the CVP PRR. Under this proposal,
customers with small loads or with statutory obligations will not
directly pay nor benefit from EIM charges.
Legal Authority
Existing DOE procedures for public participation in power and
transmission rate adjustments (10 CFR part 903) were published on
September 18, 1985, and February 21, 2019.\1\ The proposed action
constitutes a minor rate adjustment, as defined by 10 CFR 903.2(e). In
accordance with 10 CFR 903.15(a) and 10 CFR 903.16(a), WAPA will hold
public information and public comment forums for this rate adjustment.
WAPA will review and consider all timely public comments at the
conclusion of the consultation and comment period and make amendments
or adjustments to the proposal as appropriate.
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\1\ 50 FR 37835 (Sept. 18, 1985) and 84 FR 5347 (Feb. 21, 2019).
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WAPA is establishing the formula rates for CVP in accordance with
section 302 of the 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 (Reclamation) under the Reclamation Act
of 1902 (ch. 1093, 32 Stat. 388), as amended and supplemented by
subsequent laws, particularly section 9(c) of the Reclamation Project
Act of 1939 (43 U.S.C. 485h(c)); and other acts that specifically apply
to the project involved.
By Delegation Order No. 00-037.00B, effective November 19, 2016,
the Secretary of Energy delegated: (1) The authority to develop power
and transmission rates to WAPA's Administrator; (2) the authority to
confirm, approve, and place such rates into effect on an interim basis
to the Deputy Secretary of Energy; and (3) the authority to confirm,
approve, and place into effect on a final basis, or to remand or
disapprove such rates, to FERC. By Delegation Order No. 00-002.00S,
effective January 15, 2020, the Secretary of Energy also delegated the
authority to confirm, approve, and place such rates into effect on an
interim basis to the Under Secretary of Energy. By Redelegation Order
No. 00-002.10E, effective February 14, 2020, the Under Secretary of
Energy further delegated the authority to confirm, approve, and place
such rates into effect on an interim basis to the Assistant Secretary
for Electricity. By Redelegation Order No. 00-002.10-5, effective July
8, 2020, the Assistant Secretary for Electricity further delegated the
authority to confirm, approve, and place such rates
[[Page 46086]]
into effect on an interim basis to WAPA's Administrator. This rate
action is issued under Redelegation Order No. 00-002.10-05 and
Department of Energy (DOE) procedures for public participation in rate
adjustments set forth at 10 CFR part 903.
Availability of Information
All brochures, studies, comments, letters, memorandums, or other
documents that WAPA initiates or uses to develop the proposed formula
rates are available on WAPA's website at https://www.wapa.gov/regions/SN/rates/Pages/Rate-Case-2021-WAPA-194.aspx.
Ratemaking Procedure Requirements
Environmental Compliance
WAPA is in the process of determining whether an environmental
assessment or an environmental impact statement should be prepared, or
if this action can be categorically excluded from those
requirements.\2\
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\2\ 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).
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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.
Signing Authority
This document of the Department of Energy was signed on July 24,
2020, by Mark A. Gabriel, Administrator, Western Area Power
Administration, pursuant to delegated authority from the Secretary of
Energy. That document, with the original signature and date, is
maintained by DOE. For administrative purposes only, and in compliance
with requirements of the Office of the Federal Register, the
undersigned DOE Federal Register Liaison Officer has been authorized to
sign and submit the document in electronic format for publication, as
an official document of the Department of Energy. This administrative
process in no way alters the legal effect of this document upon
publication in the Federal Register.
Signed in Washington, DC, on July 28, 2020.
Treena V. Garrett,
Federal Register Liaison Officer, U.S. Department of Energy.
[FR Doc. 2020-16683 Filed 7-30-20; 8:45 am]
BILLING CODE 6450-01-P
