Notice of Interim Approval of Rate Schedules for Kerr-Philpott System, 52968-52985 [2020-18821]

Download as PDF 52968 Federal Register / Vol. 85, No. 167 / Thursday, August 27, 2020 / Notices Frequency: On occasion. Respondent’s Obligation: Voluntary. OMB Desk Officer: Ms. Jasmeet Seehra. You may also submit comments and recommendations, identified by Docket ID number and title, by the following method: • Federal eRulemaking Portal: http:// www.regulations.gov. Follow the instructions for submitting comments. Instructions: All submissions received must include the agency name, Docket ID number, and title for this Federal Register document. The general policy for comments and other submissions from members of the public is to make these submissions available for public viewing on the internet at http:// www.regulations.gov as they are received without change, including any personal identifiers or contact information. DOD Clearance Officer: Ms. Angela James. Requests for copies of the information collection proposal should be sent to Ms. James at whs.mc-alex.esd.mbx.dddod-information-collections@mail.mil. Dated: August 19, 2020. Aaron T. Siegel, Alternate OSD Federal Register Liaison Officer, Department of Defense. [FR Doc. 2020–18869 Filed 8–26–20; 8:45 am] BILLING CODE 5001–06–P DEPARTMENT OF ENERGY Southeastern Power Administration Notice of Interim Approval of Rate Schedules for Kerr-Philpott System Southeastern Power Administration, Energy (DOE). ACTION: Notice of interim approval. The Administrator for the Southeastern Power Administration (Southeastern) has confirmed and approved, on an interim basis, new rate schedules VA–1–D, VA–2–D, VA–3–D, VA–4–D, DEP–1–D, DEP–2–D, DEP–3– D, DEP–4–D, AP–1–D, AP–2–D, AP–3– D, AP–4–D, NC–1–D, and Replacement– 2–C. These rate schedules are applicable to Southeastern power sold to existing preference customers in the Virginia and North Carolina service area. The rate schedules are approved on an interim basis through September 30, 2025, and are subject to confirmation and approval by the Federal Energy Regulatory Commission (FERC) on a final basis. DATES: The approval of rates on an interim basis is effective October 1, 2020. khammond on DSKJM1Z7X2PROD with NOTICES VerDate Sep<11>2014 17:09 Aug 26, 2020 Jkt 250001 Cathy Stillson, Power Marketing Advisor, Finance and Marketing, Southeastern Power Administration, U.S. Department of Energy, 1166 Athens Tech Road, Elberton, Georgia 30635– 6711, (706) 213–3847; Email: Cathy.Stillson@sepa.doe.gov. SUPPLEMENTARY INFORMATION: FERC, by order issued February 24, 2016, 154 FERC ¶ 62,129, confirmed and approved Rate Schedules VA–1–C, VA–2–C, VA– 3–C, VA–4–C, DEP–1–C, DEP–2–C, DEP–3–C, DEP–4–C, AP–1–C, AP–2–C, AP–3–C, AP–4–C, NC–1–C, and Replacement–2–B, for the period October 1, 2015, through September 30, 2020. This order replaces these rate schedules on an interim basis, subject to final approval by FERC. Signing Authority This document of the Department of Energy was signed on August 18, 2020, by Virgil G. Hobbs, III, Administrator for Southeastern 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 August 21, 2020. Treena V. Garrett, Federal Register Liaison Officer, U.S. Department of Energy. AGENCY: SUMMARY: FOR FURTHER INFORMATION CONTACT: DEPARTMENT OF ENERGY ADMINISTRATOR, SOUTHEASTERN POWER ADMINISTRATION In the Matter of: Southeastern Power Administration Kerr-Philpott System Power Rates Rate Order No. SEPA–63 Order Confirming and Approving Power Rates on an Interim Basis Pursuant to Section 302(a) of the Department of Energy Organization Act (Pub. L. 95–91, 42 U.S.C. 7152(a)), the functions of the Secretary of the Interior and the Federal Power Commission under Section 5 of the Flood Control Act of 1944 (16 U.S.C. 825s), relating to the Southeastern Power Administration (Southeastern), were transferred to and vested in the Secretary of Energy. By Delegation Order No. 00–037.00B, PO 00000 Frm 00027 Fmt 4703 Sfmt 4703 effective November 19, 2016, the Secretary of Energy delegated to Southeastern’s Administrator the authority to develop power and transmission rates, to the Deputy Secretary of Energy the authority to confirm, approve, and place such rates into effect on an interim basis, and to the Federal Energy Regulatory Commission (FERC) the authority to confirm, approve, and place into effect on a final basis, or to disapprove, rates developed by the Administrator under the delegation. 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. 00–002.10–03, effective July 8, 2020, the Assistant Secretary for Electricity further delegated the authority to confirm, approve, and place such rates into effect on an interim basis to the Administrator, Southeastern Power Administration. This rate is issued by the Administrator, Southeastern Power Administration pursuant to the authority delegated in Redelegation Order No. 00–002.10–03. Background Power from the Kerr-Philpott Projects is presently sold under Wholesale Power Rate Schedules VA–1–C, VA–2– C, VA–3–C, VA–4–C, DEP–1–C, DEP–2– C, DEP–3–C, DEP–4–C, AP–1–C, AP–2– C, AP–3–C, AP–4–C, NC–1–C, and Replacement–2–B. These rate schedules were approved by FERC on February 24, 2016, for a period ending September 30, 2020 (154 FERC ¶ 62,129). Public Notice and Comment Notice of proposed rates and opportunities for public review and comment for the Kerr-Philpott System was published in the Federal Register (85 FR 17572) on March 30, 2020. Southeastern proposed to update and extend existing schedules of rates and charges applicable to the sale of power from the Kerr Philpott System effective October 1, 2020, through September 30, 2025. The notice advised interested parties of Southeastern’s determination that holding a public information and comment forum for this rate action, in accordance with 10 CFR 903.23(a), would not be necessary. Instead, Southeastern announced a 30-day E:\FR\FM\27AUN1.SGM 27AUN1 52969 Federal Register / Vol. 85, No. 167 / Thursday, August 27, 2020 / Notices consultation and comment period to give the public an opportunity to comment, with written comments due on or before April 29, 2020. The proposed rate schedules extended the existing initial base rate of $4.40 per kilowatt per month for capacity and the initial base rate of 17.80 mills per kilowatt-hour charge for energy, which expire September 30, 2020, through September 30, 2025. The rates are based on a repayment study estimating the Kerr-Philpott System will produce the following net revenue available for repayment (rounded to the nearest $10,000): Estimated annual net revenue available for repayment Fiscal year 2020 2021 2022 2023 2024 2025 2026 2027 2028 2029 ............................................................................................................................................................. ............................................................................................................................................................. ............................................................................................................................................................. ............................................................................................................................................................. ............................................................................................................................................................. ............................................................................................................................................................. ............................................................................................................................................................. ............................................................................................................................................................. ............................................................................................................................................................. ............................................................................................................................................................. The proposed rates continue a true-up of the capacity and energy rates based on the cumulative net revenue available for repayment from the table above. For every $100,000 under-recovery of the planned cumulative net revenue available for repayment, Southeastern will increase the base capacity charge by $0.02 per kilowatt per month, up to a maximum of $0.75 per kilowatt per month, and increase the base energy charge by 0.10 mills per kilowatt-hour, up to a maximum of 3.0 mills per kilowatt-hour. For every $100,000 overrecovery of the planned cumulative net revenue available for repayment, Southeastern will reduce the base capacity charge by $0.02 per kilowatt per month, up to a maximum of $0.75 per kilowatt per month, and reduce the base energy charge by 0.10 mills per kilowatt-hour, up to a maximum of 3.0 mills per kilowatt-hour, to be implemented April 1 of the next fiscal year. The extension of rates and the continuation of the true-up based on the updated amounts of cumulative net revenue available for repayment ensure repayment within cost recovery criteria. khammond on DSKJM1Z7X2PROD with NOTICES Public Comments Southeastern received no comments in response to the ‘‘Notice of proposed rates and opportunities for public review and comment’’ published in the Federal Register at 85 FR 17572 on March 30, 2020. Discussion System Repayment An examination of Southeastern’s revised system power repayment study, prepared in March 2020 for the KerrPhilpott System, shows that with the proposed rates, all system power costs are repaid within the appropriate VerDate Sep<11>2014 17:09 Aug 26, 2020 Jkt 250001 repayment period and meet the cost recovery criteria set forth in DOE Order RA 6120.2. The Administrator of Southeastern Power Administration has certified that the rates are consistent with applicable law, and that they are the lowest possible rates to customers consistent with sound business principles. Environmental Impact Southeastern has reviewed the possible environmental impacts of the rate adjustment under consideration and has concluded that, because the adjusted rates would not significantly affect the quality of the human environment within the meaning of the National Environmental Policy Act of 1969, as amended, the proposed action is not a major Federal action for which preparation of an Environmental Impact Statement is required. Determination Under Executive Order 12866 Southeastern 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. Availability of Information Information regarding these rates, including studies and other supporting materials is available for public review in the offices of Southeastern Power Administration, 1166 Athens Tech Road, Elberton, Georgia 30635, and in the Power Marketing Liaison Office, James Forrestal Building, 1000 Independence Avenue SW, Washington, DC 20585. Order In view of the foregoing and pursuant to the authority redelegated to me by the PO 00000 Frm 00028 Fmt 4703 Sfmt 4703 $200,000 2,560,000 2,940,000 2,360,000 2,430,000 2,130,000 2,210,000 2,310,000 2,420,000 2,530,000 Cumulative net revenue available for repayment $200,000 2,760,000 5,700,000 8,060,000 10,490,000 12,620,000 14,830,000 17,140,000 19,560,000 22,090,000 Assistant Secretary for Electricity, I hereby confirm and approve on an interim basis, effective October 1, 2020, attached Wholesale Power Rate Schedules VA–1–D, VA–2–D, VA–3–D, VA–4–D, DEP–1–D, DEP–2–D, DEP–3– D, DEP–4–D, AP–1–D, AP–2–D, AP–3– D, AP–4–D, NC–1–D, and Replacement– 2–C. The Rate Schedules shall remain in effect on an interim basis through September 30, 2025, unless such period is extended or until FERC confirms and approves them or substitutes Rate Schedules on a final basis. Dated: August 18, 2020. Virgil G. Hobbs, III, Administrator, Southeastern Power Administration. Wholesale Power Rate Schedule VA–1–D Availability This rate schedule shall be available to public bodies and cooperatives (any one of whom is hereinafter called the Customer) in Virginia and North Carolina to whom power may be transmitted and scheduled pursuant to contracts between the Government, Virginia Electric and Power Company (hereinafter called the Company), the Company’s Transmission Operator, currently PJM Interconnection LLC (hereinafter called PJM), and the Customer. This rate schedule is applicable to customers receiving power from the Government on an arrangement where the Company schedules the power and provides the Customer a credit on their bill for Government power. Nothing in this rate schedule shall preclude modifications to the aforementioned contracts to allow an eligible customer to elect service under another rate schedule. E:\FR\FM\27AUN1.SGM 27AUN1 52970 Federal Register / Vol. 85, No. 167 / Thursday, August 27, 2020 / Notices Applicability This rate schedule shall be applicable to the sale at wholesale of power and accompanying energy generated at the John H. Kerr and Philpott Projects and sold under appropriate contracts between the Government and the Customer. Character of Service The electric capacity and energy supplied hereunder will be delivered at the delivery points of the Customer on the Company’s transmission and distribution system. Monthly Rate The initial base monthly rate for capacity, energy, and generation services provided under this rate schedule for the period specified shall be: Initial Base Capacity Charge: $4.40 per kilowatt of total contract demand per month. Initial Base Energy Charge: 17.80 mills per kilowatt-hour. The rates are based on a repayment study that projects that the Kerr-Philpott System will produce the following net revenue available for repayment by fiscal year and cumulative net revenue available for repayment by fiscal year: Fiscal year khammond on DSKJM1Z7X2PROD with NOTICES 2020 2021 2022 2023 2024 2025 2026 2027 2028 2029 Estimated annual net revenue available for repayment ........ ........ ........ ........ ........ ........ ........ ........ ........ ........ $200,000 2,560,000 2,940,000 2,360,000 2,430,000 2,130,000 2,210,000 2,310,000 2,420,000 2,530,000 Cumulative net revenue available for repayment $200,000 2,760,000 5,700,000 8,060,000 10,490,000 12,620,000 14,830,000 17,140,000 19,560,000 22,090,000 The rates include a true-up of the capacity and energy rates based on the variance of the actual cumulative net revenue available for repayment from the planned cumulative net revenue available for repayment in the table above. For every $100,000 underrecovery of the planned cumulative net revenue available for repayment, Southeastern will increase the base capacity charge by $0.02 per kilowatt per month, up to a maximum of $0.75 per kilowatt per month, and increase the base energy charge by 0.10 mills per kilowatt-hour, up to a maximum of 3.0 mills per kilowatt per hour, to be implemented April 1 of the next fiscal year. For every $100,000 of overrecovery of the planned cumulative net revenue available for repayment, Southeastern will reduce the base capacity charge by $0.02 per kilowatt VerDate Sep<11>2014 17:09 Aug 26, 2020 Jkt 250001 per month, up to a maximum of $0.75 per kilowatt per month, and reduce the base energy charge by 0.10 mills per kilowatt-hour, up to a maximum of 3.0 mills per kilowatt per hour, to be implemented April 1 of the next fiscal year. Southeastern will give written notice to the customers of the amount of the true-up to the capacity and energy rates by February 1 of the next fiscal year. Additional rates for transmission and any ancillary services provided under this rate schedule shall be the rates charged Southeastern Power Administration by the Company or PJM. Future adjustments to these rates will become effective upon acceptance for filing by the Federal Energy Regulatory Commission (FERC) of the Company’s rate. of the Virginia Electric and Power Company System and the cost to the Government for transmission of power from the John H. Kerr Project to the border of the Duke Energy Progress System. These charges could be recovered through a capacity charge or an energy charge, as determined by the Government. Transmission $7.32 per kilowatt of total contract demand per month estimated as of February 2020, is presented for illustrative purposes. Requirements of the PJM capacity performance market may lead to nonperformance charges to Southeastern. These non-performance charges, if incurred, will be allocated to the capacity delivered in PJM (currently 120,100 kilowatts) in the month incurred. Ancillary Services 0.81 mills per kilowatt-hour of energy estimated as of February 2020, is presented for illustrative purposes. The initial charge for transmission and Ancillary Services will be the Customer’s ratable share of the charges for transmission, distribution, and ancillary services paid by the Government. The charges for transmission and ancillary services are governed by and subject to refund based upon the determination in proceedings before FERC involving the Company’s or PJM’s Open Access Transmission Tariff (OATT). Proceedings before FERC involving the OATT or the Distribution charge may result in the separation of charges currently included in the transmission rate. In this event, the Government may charge the Customer for any and all separate transmission, ancillary services, and distribution charges paid by the Government in behalf of the Customer. These charges could be recovered through a capacity charge or an energy charge, as determined by the Government. Tandem Transmission Charge $1.34 per kilowatt of total contract demand per month, as an estimated cost as of February 2020. The tandem transmission charge will recover the cost of transmitting power from a project to the border of another transmitting system. This rate will be a formulary rate based on the cost to the Government for transmission of power from the Philpott project to the border PO 00000 Frm 00029 Fmt 4703 Sfmt 4703 Transmission and Ancillary Services The charges for transmission and ancillary services shall be governed by and subject to refund based upon the determination in the proceeding involving the Company’s or PJM’s OATT. Capacity Performance Non-Performance Charge Contract Demand The contract demand is the amount of capacity in kilowatts stated in the contract which the Government is obligated to supply and the Customer is entitled to receive. Energy To Be Furnished by the Government The Government will sell to the Customer and the Customer will purchase from the Government energy each billing month equivalent to a percentage specified by contract of the energy made available to the Company (less applicable losses). The Customer’s contract demand and accompanying energy will be allocated proportionately to its individual delivery points served from the Company’s system. The applicable energy loss factor for transmission is specified in the OATT. These losses shall be effective until modified by FERC, pursuant to application by the Company or PJM under Section 205 of the Federal Power Act or Southeastern Power Administration under Section 206 of the Federal Power Act or otherwise. Billing Month The billing month for power sold under this schedule shall end at 12:00 midnight on the last day of each calendar month. E:\FR\FM\27AUN1.SGM 27AUN1 Federal Register / Vol. 85, No. 167 / Thursday, August 27, 2020 / Notices Wholesale Power Rate Schedule VA–2–D Fiscal year Availability This rate schedule shall be available to public bodies and cooperatives (any one of whom is hereinafter called the Customer) in Virginia and North Carolina to whom power may be transmitted pursuant to contracts between the Government, Virginia Electric and Power Company (hereinafter called the Company), the Company’s Transmission Operator, currently PJM Interconnection LLC (hereinafter called PJM), and the Customer. The Customer has chosen to self-schedule and does not receive Government power under an arrangement where the Company schedules the power and provides a credit on the Customer’s bill for Government power. The Customer is responsible for providing a scheduling arrangement with the Government. The Government is responsible for arranging transmission with the Company and PJM. Nothing in this rate schedule shall preclude modifications to the aforementioned contracts to allow an eligible customer to elect service under another rate schedule. Applicability This rate schedule shall be applicable to the sale at wholesale of power and accompanying energy generated at the John H. Kerr and Philpott Projects and sold under appropriate contracts between the Government and the Customer. Character of Service The electric capacity and energy supplied hereunder will be delivered at the delivery points of the Customer on the Company’s transmission and distribution system. khammond on DSKJM1Z7X2PROD with NOTICES Monthly Rate The initial base monthly rate for capacity, energy, and generation services provided under this rate schedule for the period specified shall be: Initial Base Capacity Charge: $4.40 per kilowatt of total contract demand per month. Initial Base Energy Charge: 17.80 mills per kilowatt-hour. The rates are based on a repayment study that projects that the Kerr-Philpott System will produce the following net revenue available for repayment by fiscal year and cumulative net revenue available for repayment by fiscal year: VerDate Sep<11>2014 17:09 Aug 26, 2020 Jkt 250001 2020 2021 2022 2023 2024 2025 2026 2027 2028 2029 Estimated annual net revenue available for repayment ........ ........ ........ ........ ........ ........ ........ ........ ........ ........ Cumulative net revenue available for repayment $200,000 2,560,000 2,940,000 2,360,000 2,430,000 2,130,000 2,210,000 2,310,000 2,420,000 2,530,000 $200,000 2,760,000 5,700,000 8,060,000 10,490,000 12,620,000 14,830,000 17,140,000 19,560,000 22,090,000 The rates include a true-up of the capacity and energy rates based on the variance of the actual cumulative net revenue available for repayment from the planned cumulative net revenue available for repayment in the table above. For every $100,000 underrecovery of the planned cumulative net revenue available for repayment, Southeastern will increase the base capacity charge by $0.02 per kilowatt per month, up to a maximum of $0.75 per kilowatt per month, and increase the base energy charge by 0.10 mills per kilowatt-hour, up to a maximum of 3.0 mills per kilowatt per hour, to be implemented April 1 of the next fiscal year. For every $100,000 of overrecovery of the planned cumulative net revenue available for repayment, Southeastern will reduce the base capacity charge by $0.02 per kilowatt per month, up to a maximum of $0.75 per kilowatt per month, and reduce the base energy charge by 0.10 mills per kilowatt-hour, up to a maximum of 3.0 mills per kilowatt per hour, to be implemented April 1 of the next fiscal year. Southeastern will give written notice to the customers of the amount of the true-up to the capacity and energy rates by February 1 of the next fiscal year. Additional rates for transmission and any ancillary services provided under this rate schedule shall be the rates charged Southeastern Power Administration by the Company or PJM. Future adjustments to these rates will become effective upon acceptance for filing by the Federal Energy Regulatory Commission (FERC) of the Company’s rate. Transmission $7.32 per kilowatt of total contract demand per month estimated as of February 2020, is presented for illustrative purposes. Ancillary Services 0.81 mills per kilowatt-hour of energy estimated as of February 2020, is presented for illustrative purposes. The initial charge for transmission and ancillary services will be the PO 00000 Frm 00030 Fmt 4703 Sfmt 4703 52971 Customer’s ratable share of the charges for transmission, distribution, and ancillary services paid by the Government. The charges for transmission and ancillary services are governed by and subject to refund based upon the determination in proceedings before FERC involving the Company’s or PJM’s Open Access Transmission Tariff (OATT). Proceedings before FERC involving the OATT or the distribution charge may result in the separation of charges currently included in the transmission rate. In this event, the Government may charge the Customer for any and all separate transmission, ancillary services, and distribution charges paid by the Government in behalf of the Customer. These charges could be recovered through a capacity charge or an energy charge, as determined by the Government. Tandem Transmission Charge $1.34 per kilowatt of total contract demand per month, as an estimated cost as of February 2020. The tandem transmission charge will recover the cost of transmitting power from a project to the border of another transmitting system. This rate will be a formulary rate based on the cost to the Government for transmission of power from the Philpott project to the border of the Virginia Electric and Power Company System and the cost to the Government for transmission of power from the John H. Kerr Project to the border of the Duke Energy Progress System. These charges could be recovered through a capacity charge or an energy charge, as determined by the Government. Transmission and Ancillary Services The charges for transmission and ancillary services shall be governed by and subject to refund based upon the determination in the proceeding involving the Company’s or PJM’s OATT. Capacity Performance Non-Performance Charge Requirements of the PJM capacity performance market may lead to nonperformance charges to Southeastern. These non-performance charges, if incurred, will be allocated to the capacity delivered in PJM (currently 120,100 kilowatts) in the month incurred. Contract Demand The contract demand is the amount of capacity in kilowatts stated in the contract which the Government is E:\FR\FM\27AUN1.SGM 27AUN1 52972 Federal Register / Vol. 85, No. 167 / Thursday, August 27, 2020 / Notices obligated to supply and the Customer is entitled to receive. Energy To Be Furnished by the Government The Government will sell to the Customer and the Customer will purchase from the Government energy each billing month equivalent to a percentage specified by contract of the energy made available to the Company (less applicable losses). The Customer’s contract demand and accompanying energy will be allocated proportionately to its individual delivery points served from the Company’s system. The applicable energy loss factor for transmission is specified in the OATT. These losses shall be effective until modified by FERC, pursuant to application by the Company or PJM under Section 205 of the Federal Power Act or Southeastern Power Administration under Section 206 of the Federal Power Act or otherwise. The billing month for power sold under this schedule shall end at 12:00 midnight on the last day of each calendar month. Wholesale Power Rate Schedule VA–3–D Availability khammond on DSKJM1Z7X2PROD with NOTICES This rate schedule shall be available to public bodies and cooperatives (any one of whom is hereinafter called the Customer) in Virginia and North Carolina to whom power may be scheduled pursuant to contracts between the Government, Virginia Electric and Power Company (hereinafter called the Company), the Company’s Transmission Operator, currently PJM Interconnection LLC (hereinafter called PJM), and the Customer. The Government is responsible for providing the scheduling. The Customer is responsible for providing a transmission arrangement. Nothing in this rate schedule shall preclude modifications to the aforementioned contracts to allow an eligible customer to elect service under another rate schedule. Applicability This rate schedule shall be applicable to the sale at wholesale of power and accompanying energy generated at the John H. Kerr and Philpott Projects (hereinafter called the Projects) and sold under appropriate contracts between the Government and the Customer. 17:09 Aug 26, 2020 Jkt 250001 Monthly Rate The initial base monthly rate for capacity, energy, and generation services provided under this rate schedule for the period specified shall be: Initial Base Capacity Charge: $4.40 per kilowatt of total contract demand per month. Initial Base Energy Charge: 17.80 mills per kilowatt-hour. The rates are based on a repayment study that projects that the Kerr-Philpott System will produce the following net revenue available for repayment by fiscal year and cumulative net revenue available for repayment by fiscal year: Fiscal year 2020 2021 2022 2023 2024 2025 2026 2027 2028 2029 Billing Month VerDate Sep<11>2014 Character of Service The electric capacity and energy supplied hereunder will be delivered at the Projects. Estimated annual net revenue available for repayment ........ ........ ........ ........ ........ ........ ........ ........ ........ ........ Cumulative net revenue available for repayment $200,000 2,560,000 2,940,000 2,360,000 2,430,000 2,130,000 2,210,000 2,310,000 2,420,000 2,530,000 $200,000 2,760,000 5,700,000 8,060,000 10,490,000 12,620,000 14,830,000 17,140,000 19,560,000 22,090,000 The rates include a true-up of the capacity and energy rates based on the variance of the actual cumulative net revenue available for repayment from the planned cumulative net revenue available for repayment in the table above. For every $100,000 underrecovery of the planned cumulative net revenue available for repayment, Southeastern will increase the base capacity charge by $0.02 per kilowatt per month, up to a maximum of $0.75 per kilowatt per month, and increase the base energy charge by 0.10 mills per kilowatt-hour, up to a maximum of 3.0 mills per kilowatt per hour, to be implemented April 1 of the next fiscal year. For every $100,000 of overrecovery of the planned cumulative net revenue available for repayment, Southeastern will reduce the base capacity charge by $0.02 per kilowatt per month, up to a maximum of $0.75 per kilowatt per month, and reduce the base energy charge by 0.10 mills per kilowatt-hour, up to a maximum of 3.0 mills per kilowatt per hour, to be implemented April 1 of the next fiscal year. Southeastern will give written notice to the customers of the amount of the true-up to the capacity and energy rates by February 1 of the next fiscal year. PO 00000 Frm 00031 Fmt 4703 Sfmt 4703 Additional rates for Transmission and Ancillary Services provided under this rate schedule shall be the rates charged Southeastern Power Administration by the Company or PJM. Future adjustments to these rates will become effective upon acceptance for filing by the Federal Energy Regulatory Commission (FERC) of the Company’s rate. Ancillary Services 0.81 mills per kilowatt-hour of energy estimated as of February 2020, is presented for illustrative purposes. The initial charge for transmission and Ancillary Services will be the Customer’s ratable share of the charges for transmission, distribution, and ancillary services paid by the Government. The charges for transmission and ancillary services are governed by and subject to refund based upon the determination in proceedings before FERC involving the Company’s or PJM’s Open Access Transmission Tariff (OATT). Proceedings before FERC involving the OATT or the Distribution charge may result in the separation of charges currently included in the transmission rate. In this event, the Government may charge the Customer for any and all separate transmission, ancillary services, and distribution charges paid by the Government in behalf of the Customer. These charges could be recovered through a capacity charge or an energy charge, as determined by the Government. Tandem Transmission Charge $1.34 per kilowatt of total contract demand per month, as an estimated cost as of February 2020. The tandem transmission charge will recover the cost of transmitting power from a project to the border of another transmitting system. This rate will be a formulary rate based on the cost to the Government for transmission of power from the Philpott project to the border of the Virginia Electric and Power Company System and the cost to the Government for transmission of power from the John H. Kerr Project to the border of the Duke Energy Progress System. These charges could be recovered through a capacity charge or an energy charge, as determined by the Government. Transmission and Ancillary Services The charges for transmission and ancillary services shall be governed by and subject to refund based upon the determination in the proceeding involving the Company’s or PJM’s OATT. E:\FR\FM\27AUN1.SGM 27AUN1 Federal Register / Vol. 85, No. 167 / Thursday, August 27, 2020 / Notices Capacity Performance Non-Performance Charge Requirements of the PJM capacity performance market may lead to nonperformance charges to Southeastern. These non-performance charges, if incurred, will be allocated to the capacity delivered in PJM (currently 120,100 kilowatts) in the month incurred. Contract Demand The contract demand is the amount of capacity in kilowatts stated in the contract which the Government is obligated to supply and the Customer is entitled to receive. Energy To Be Furnished by the Government The Government will sell to the Customer and the Customer will purchase from the Government energy each billing month equivalent to a percentage specified by contract of the energy made available to the Company (less applicable losses). The Customer’s contract demand and accompanying energy will be allocated proportionately to its individual delivery points served from the Company’s system. The applicable energy loss factor for transmission is specified in the OATT. These losses shall be effective until modified by the Federal Energy Regulatory Commission, pursuant to application by the Company or PJM under Section 205 of the Federal Power Act or Southeastern Power Administration under Section 206 of the Federal Power Act or otherwise. Billing Month The billing month for power sold under this schedule shall end at 12:00 midnight on the last day of each calendar month. khammond on DSKJM1Z7X2PROD with NOTICES Wholesale Power Rate Schedule VA–4–D Availability This rate schedule shall be available to public bodies and cooperatives (any one of whom is hereinafter called the Customer) in Virginia and North Carolina served through the transmission facilities of Virginia Electric and Power Company (hereinafter called the Company) and PJM Interconnection LLC (hereinafter called PJM). The Customer has chosen to self-schedule and does not receive Government power under an arrangement where the Company schedules the power and provides a credit on the Customer’s bill for Government power. The Customer is responsible for providing a scheduling VerDate Sep<11>2014 17:09 Aug 26, 2020 Jkt 250001 arrangement with the Government and for providing a transmission arrangement. Nothing in this rate schedule shall preclude modifications to the aforementioned contracts to allow an eligible customer to elect service under another rate schedule. Applicability This rate schedule shall be applicable to the sale at wholesale of power and accompanying energy generated at the John H. Kerr and Philpott Projects (hereinafter called the Projects) and sold under appropriate contracts between the Government and the Customer. Character of Service The electric capacity and energy supplied hereunder will be delivered at the Projects. Monthly Rate The initial base monthly rate for capacity, energy, and generation services provided under this rate schedule for the period specified shall be: Initial Base Capacity Charge: $4.40 per kilowatt of total contract demand per month. Initial Base Energy Charge: 17.80 mills per kilowatt-hour. The rates are based on a repayment study that projects that the Kerr-Philpott System will produce the following net revenue available for repayment by fiscal year and cumulative net revenue available for repayment by fiscal year: Fiscal year 2020 2021 2022 2023 2024 2025 2026 2027 2028 2029 Estimated annual net revenue available for repayment ........ ........ ........ ........ ........ ........ ........ ........ ........ ........ Cumulative net revenue available for repayment $200,000 2,560,000 2,940,000 2,360,000 2,430,000 2,130,000 2,210,000 2,310,000 2,420,000 2,530,000 $200,000 2,760,000 5,700,000 8,060,000 10,490,000 12,620,000 14,830,000 17,140,000 19,560,000 22,090,000 The rates include a true-up of the capacity and energy rates based on the variance of the actual cumulative net revenue available for repayment from the planned cumulative net revenue available for repayment in the table above. For every $100,000 underrecovery of the planned cumulative net revenue available for repayment, Southeastern will increase the base capacity charge by $0.02 per kilowatt per month, up to a maximum of $0.75 per kilowatt per month, and increase the base energy charge by 0.10 mills per kilowatt-hour, up to a maximum of 3.0 mills per kilowatt per hour, to be implemented April 1 of the next fiscal PO 00000 Frm 00032 Fmt 4703 Sfmt 4703 52973 year. For every $100,000 of overrecovery of the planned cumulative net revenue available for repayment, Southeastern will reduce the base capacity charge by $0.02 per kilowatt per month, up to a maximum of $0.75 per kilowatt per month, and reduce the base energy charge by 0.10 mills per kilowatt-hour, up to a maximum of 3.0 mills per kilowatt per hour, to be implemented April 1 of the next fiscal year. Southeastern will give written notice to the customers of the amount of the true-up to the capacity and energy rates by February 1 of the next fiscal year. Additional rates for transmission and ancillary services provided under this rate schedule shall be the rates charged Southeastern Power Administration by the Company or PJM. Future adjustments to these rates will become effective upon acceptance for filing by the Federal Energy Regulatory Commission (FERC) of the Company’s rate. Ancillary Services 0.81 mills per kilowatt-hour of energy estimated as of February 2020, is presented for illustrative purposes. The initial charge for transmission and Ancillary Services will be the Customer’s ratable share of the charges for transmission, distribution, and ancillary services paid by the Government. The charges for transmission and ancillary services are governed by and subject to refund based upon the determination in proceedings before FERC involving the Company’s or PJM’s Open Access Transmission Tariff (OATT). Proceedings before FERC involving the OATT or the Distribution charge may result in the separation of charges currently included in the transmission rate. In this event, the Government may charge the Customer for any and all separate transmission, ancillary services, and distribution charges paid by the Government in behalf of the Customer. These charges could be recovered through a capacity charge or an energy charge, as determined by the Government. Tandem Transmission Charge $1.34 per kilowatt of total contract demand per month, as an estimated cost as of February 2020. The tandem transmission charge will recover the cost of transmitting power from a project to the border of another transmitting system. This rate will be a formulary rate based on the cost to the Government for transmission of power from the Philpott project to the border of the Virginia Electric and Power E:\FR\FM\27AUN1.SGM 27AUN1 52974 Federal Register / Vol. 85, No. 167 / Thursday, August 27, 2020 / Notices Company System and the cost to the Government for transmission of power from the John H. Kerr Project to the border of the Duke Energy Progress System. These charges could be recovered through a capacity charge or an energy charge, as determined by the Government. Transmission and Ancillary Services The charges for transmission and ancillary services shall be governed by and subject to refund based upon the determination in the proceeding involving the Company’s or PJM’s OATT. Capacity Performance Non-Performance Charge Requirements of the PJM capacity performance market may lead to nonperformance charges to Southeastern. These non-performance charges, if incurred, will be allocated to the capacity delivered in PJM (currently 120,100 kilowatts) in the month incurred. Contract Demand The contract demand is the amount of capacity in kilowatts stated in the contract which the Government is obligated to supply and the Customer is entitled to receive. khammond on DSKJM1Z7X2PROD with NOTICES Energy To Be Furnished by the Government The Government will sell to the Customer and the Customer will purchase from the Government energy each billing month equivalent to a percentage specified by contract of the energy made available to the Company (less applicable losses). The Customer’s contract demand and accompanying energy will be allocated proportionately to its individual delivery points served from the Company’s system. The applicable energy loss factor for transmission is specified in the OATT. These losses shall be effective until modified by FERC, pursuant to application by the Company or PJM under Section 205 of the Federal Power Act or Southeastern Power Administration under Section 206 of the Federal Power Act or otherwise. one of whom is hereinafter called the Customer) in North Carolina and South Carolina to whom power may be transmitted and scheduled pursuant to contracts between the Government and Duke Energy Progress (formerly known as Carolina Power & Light Company and hereinafter called the Company) and the Customer. This rate schedule is applicable to customers receiving power from the Government on an arrangement where the Company schedules the power and provides the Customer a credit on their bill for Government power. Nothing in this rate schedule shall preclude modifications to the aforementioned contracts to allow an eligible customer to elect service under another rate schedule. Applicability This rate schedule shall be applicable to the sale at wholesale of power and accompanying energy generated at the John H. Kerr and Philpott Projects and sold under appropriate contracts between the Government and the Customer. Character of Service The electric capacity and energy supplied hereunder will be delivered at the delivery points of the Customer on the Company’s transmission and distribution system. Monthly Rate The initial base monthly rate for capacity, energy, and generation services provided under this rate schedule for the period specified shall be: Initial Base Capacity Charge: $4.40 per kilowatt of total contract demand per month. Initial Base Energy Charge: 17.80 mills per kilowatt-hour. The rates are based on a repayment study that projects that the Kerr-Philpott System will produce the following net revenue available for repayment by fiscal year and cumulative net revenue available for repayment by fiscal year: Fiscal year Estimated annual net revenue available for repayment Wholesale Power Rate Schedule DEP–1–D 2020 2021 2022 2023 2024 2025 2026 2027 2028 2029 Availability This rate schedule shall be available to public bodies and cooperatives (any The rates include a true-up of the capacity and energy rates based on the variance of the actual cumulative net Billing Month The billing month for power sold under this schedule shall end at 12:00 midnight on the last day of each calendar month. VerDate Sep<11>2014 17:09 Aug 26, 2020 Jkt 250001 PO 00000 ........ ........ ........ ........ ........ ........ ........ ........ ........ ........ Cumulative net revenue available for repayment Frm 00033 $200,000 2,560,000 2,940,000 2,360,000 2,430,000 2,130,000 2,210,000 2,310,000 2,420,000 2,530,000 Fmt 4703 Sfmt 4703 $200,000 2,760,000 5,700,000 8,060,000 10,490,000 12,620,000 14,830,000 17,140,000 19,560,000 22,090,000 revenue available for repayment from the planned cumulative net revenue available for repayment in the table above. For every $100,000 underrecovery of the planned cumulative net revenue available for repayment, Southeastern will increase the base capacity charge by $0.02 per kilowatt per month, up to a maximum of $0.75 per kilowatt per month, and increase the base energy charge by 0.10 mills per kilowatt-hour, up to a maximum of 3.0 mills per kilowatt per hour, to be implemented April 1 of the next fiscal year. For every $100,000 of overrecovery of the planned cumulative net revenue available for repayment, Southeastern will reduce the base capacity charge by $0.02 per kilowatt per month, up to a maximum of $0.75 per kilowatt per month, and reduce the base energy charge by 0.10 mills per kilowatt-hour, up to a maximum of 3.0 mills per kilowatt per hour, to be implemented April 1 of the next fiscal year. Southeastern will give written notice to the customers of the amount of the true-up to the capacity and energy rates by February 1 of the next fiscal year. Additional rates for transmission and ancillary services provided under this rate schedule shall be the rates charged Southeastern Power Administration by the Company. Future adjustments to these rates will become effective upon acceptance for filing by the Federal Energy Regulatory Commission (FERC) of the Company’s rate. Transmission $1.5297 per kilowatt of total contract demand per month as of February 2020, is presented for illustrative purposes. The initial transmission charge will be the Customer’s ratable share of the transmission and distribution charges paid by the Government. The rate is subject to periodic adjustment and will be computed in accordance with the terms of the Government-Company contract. Proceedings before FERC involving the Company’s Open Access Transmission Tariff (OATT) or the distribution charge may result in the separation of charges currently included in the transmission rate. In this event, the Government may charge the Customer for any and all separate transmission and distribution charges paid by the Government in behalf of the Customer. These charges could be recovered through a capacity charge or an energy charge, as determined by the Government. E:\FR\FM\27AUN1.SGM 27AUN1 Federal Register / Vol. 85, No. 167 / Thursday, August 27, 2020 / Notices Tandem Transmission Charge $1.34 per kilowatt of total contract demand per month, as an estimated cost as of February 2020. The tandem transmission charge will recover the cost of transmitting power from a project to the border of another transmitting system. This rate will be a formulary rate based on the cost to the Government for transmission of power from the Philpott project to the border of the Virginia Electric and Power Company System and the cost to the Government for transmission of power from the John H. Kerr Project to the border of the Duke Energy Progress System. These charges could be recovered through a capacity charge or an energy charge, as determined by the Government. Transmission and Ancillary Services The charges for transmission and ancillary services shall be governed by and subject to refund based upon the determination in the proceeding involving the Company’s or PJM’s OATT. Contract Demand The contract demand is the amount of capacity in kilowatts stated in the contract which the Government is obligated to supply and the Customer is entitled to receive. Energy To Be Furnished by the Government The Government will sell to the Customer and the Customer will purchase from the Government energy each billing month equivalent to a percentage specified by contract of the energy made available to the Company (less applicable losses). The Customer’s contract demand and accompanying energy will be allocated proportionately to its individual delivery points served from the Company’s system. The applicable energy loss factor for transmission, in accordance with the Government-Company contract, is six (6) per cent. This loss factor will be governed by the terms of the Government-Company contract. khammond on DSKJM1Z7X2PROD with NOTICES Billing Month The billing month for power sold under this schedule shall end at 12:00 midnight on the last day of each calendar month. Availability This rate schedule shall be available to public bodies and cooperatives (any one of whom is hereinafter called the 17:09 Aug 26, 2020 Jkt 250001 Applicability This rate schedule shall be applicable to the sale at wholesale of power and accompanying energy generated at the John H. Kerr and Philpott Projects and sold under appropriate contracts between the Government and the Customer. Character of Service The electric capacity and energy supplied hereunder will be delivered at the delivery points of the Customer on the Company’s transmission and distribution system. Monthly Rate The initial base monthly rate for capacity, energy, and generation services provided under this rate schedule for the period specified shall be: Initial Base Capacity Charge: $4.40 per kilowatt of total contract demand per month. Initial Base Energy Charge: 17.80 mills per kilowatt-hour. The rates are based on a repayment study that projects that the Kerr-Philpott System will produce the following net revenue available for repayment by fiscal year and cumulative net revenue available for repayment by fiscal year: Fiscal year Wholesale Power Rate Schedule DEP–2–D VerDate Sep<11>2014 Customer) in North Carolina and South Carolina to whom power may be transmitted pursuant to contracts between the Government and Duke Energy Progress (formerly known as Carolina Power & Light Company and hereinafter called the Company) and the Customer. The Customer has chosen to self-schedule and does not receive Government power under an arrangement where the Company schedules the power and provides a credit on the Customer’s bill for Government power. The Customer is responsible for providing a scheduling arrangement with the Government. The Government is responsible for arranging transmission with the Company. Nothing in this rate schedule shall preclude modifications to the aforementioned contracts to allow an eligible customer to elect service under another rate schedule. 2020 2021 2022 2023 2024 2025 2026 2027 2028 PO 00000 Estimated annual net revenue available for repayment ........ ........ ........ ........ ........ ........ ........ ........ ........ Frm 00034 Cumulative net revenue available for repayment $200,000 2,560,000 2,940,000 2,360,000 2,430,000 2,130,000 2,210,000 2,310,000 2,420,000 Fmt 4703 Sfmt 4703 $200,000 2,760,000 5,700,000 8,060,000 10,490,000 12,620,000 14,830,000 17,140,000 19,560,000 Fiscal year Estimated annual net revenue available for repayment 2029 ........ 2,530,000 52975 Cumulative net revenue available for repayment 22,090,000 The rates include a true-up of the capacity and energy rates based on the variance of the actual cumulative net revenue available for repayment from the planned cumulative net revenue available for repayment in the table above. For every $100,000 underrecovery of the planned cumulative net revenue available for repayment, Southeastern will increase the base capacity charge by $0.02 per kilowatt per month, up to a maximum of $0.75 per kilowatt per month, and increase the base energy charge by 0.10 mills per kilowatt-hour, up to a maximum of 3.0 mills per kilowatt per hour, to be implemented April 1 of the next fiscal year. For every $100,000 of overrecovery of the planned cumulative net revenue available for repayment, Southeastern will reduce the base capacity charge by $0.02 per kilowatt per month, up to a maximum of $0.75 per kilowatt per month, and reduce the base energy charge by 0.10 mills per kilowatt-hour, up to a maximum of 3.0 mills per kilowatt per hour, to be implemented April 1 of the next fiscal year. Southeastern will give written notice to the customers of the amount of the true-up to the capacity and energy rates by February 1 of the next fiscal year. Additional rates for transmission and ancillary services provided under this rate schedule shall be the rates charged Southeastern Power Administration by the Company. Future adjustments to these rates will become effective upon acceptance for filing by the Federal Energy Regulatory Commission (FERC) of the Company’s rate. Transmission $1.5297 per kilowatt of total contract demand per month as of February 2020, is presented for illustrative purposes. The initial transmission charge will be the Customer’s ratable share of the transmission and distribution charges paid by the Government. The rate is subject to periodic adjustment and will be computed in accordance with the terms of the Government-Company contract. Proceedings before FERC involving the Company’s Open Access Transmission Tariff (OATT) or the distribution charge may result in the separation of charges currently included in the transmission rate. In this event, the Government may charge the Customer for any and all separate E:\FR\FM\27AUN1.SGM 27AUN1 52976 Federal Register / Vol. 85, No. 167 / Thursday, August 27, 2020 / Notices transmission and distribution charges paid by the Government in behalf of the Customer. These charges could be recovered through a capacity charge or an energy charge, as determined by the Government. Tandem Transmission Charge $1.34 per kilowatt of total contract demand per month, as an estimated cost as of February 2020. The tandem transmission charge will recover the cost of transmitting power from a project to the border of another transmitting system. This rate will be a formulary rate based on the cost to the Government for transmission of power from the Philpott project to the border of the Virginia Electric and Power Company System and the cost to the Government for transmission of power from the John H. Kerr Project to the border of the Duke Energy Progress System. These charges could be recovered through a capacity charge or an energy charge, as determined by the Government. Transmission and Ancillary Services The charges for transmission and ancillary services shall be governed by and subject to refund based upon the determination in the proceeding involving the Company’s or PJM’s OATT. Contract Demand The contract demand is the amount of capacity in kilowatts stated in the contract which the Government is obligated to supply and the Customer is entitled to receive. khammond on DSKJM1Z7X2PROD with NOTICES Energy To Be Furnished by the Government The Government will sell to the Customer and the Customer will purchase from the Government energy each billing month equivalent to a percentage specified by contract of the energy made available to the Company (less applicable losses). The Customer’s contract demand and accompanying energy will be allocated proportionately to its individual delivery points served from the Company’s system. The applicable energy loss factor for transmission, in accordance with the Government-Company contract, is six (6) per cent. This loss factor will be governed by the terms of the Government-Company contract. Billing Month The billing month for power sold under this schedule shall end at 12:00 midnight on the last day of each calendar month. VerDate Sep<11>2014 17:09 Aug 26, 2020 Jkt 250001 Wholesale Power Rate Schedule DEP–3–D Availability This rate schedule shall be available to public bodies and cooperatives (any one of whom is hereinafter called the Customer) in North Carolina and South Carolina to whom power may be scheduled pursuant to contracts between the Government and Duke Energy Progress (formerly known as Carolina Power & Light Company and hereinafter called the Company) and the Customer. The Government is responsible for providing the scheduling. The Customer is responsible for providing a transmission arrangement. Nothing in this rate schedule shall preclude modifications to the aforementioned contracts to allow an eligible customer to elect service under another rate schedule. Applicability This rate schedule shall be applicable to the sale at wholesale of power and accompanying energy generated at the John H. Kerr and Philpott Projects (hereinafter called the Projects) and sold under appropriate contracts between the Government and the Customer. Character of Service The electric capacity and energy supplied hereunder will be delivered at the Projects. Monthly Rate The initial base monthly rate for capacity, energy, and generation services provided under this rate schedule for the period specified shall be: Initial Base Capacity Charge: $4.40 per kilowatt of total contract demand per month. Initial Base Energy Charge: 17.80 mills per kilowatt-hour. The rates are based on a repayment study that projects that the Kerr-Philpott System will produce the following net revenue available for repayment by fiscal year and cumulative net revenue available for repayment by fiscal year: Fiscal year 2020 2021 2022 2023 2024 2025 2026 2027 2028 2029 PO 00000 Estimated annual net revenue available for repayment ........ ........ ........ ........ ........ ........ ........ ........ ........ ........ Frm 00035 Cumulative net revenue available for repayment $200,000 2,560,000 2,940,000 2,360,000 2,430,000 2,130,000 2,210,000 2,310,000 2,420,000 2,530,000 Fmt 4703 Sfmt 4703 $200,000 2,760,000 5,700,000 8,060,000 10,490,000 12,620,000 14,830,000 17,140,000 19,560,000 22,090,000 The rates include a true-up of the capacity and energy rates based on the variance of the actual cumulative net revenue available for repayment from the planned cumulative net revenue available for repayment in the table above. For every $100,000 underrecovery of the planned cumulative net revenue available for repayment, Southeastern will increase the base capacity charge by $0.02 per kilowatt per month, up to a maximum of $0.75 per kilowatt per month, and increase the base energy charge by 0.10 mills per kilowatt-hour, up to a maximum of 3.0 mills per kilowatt per hour, to be implemented April 1 of the next fiscal year. For every $100,000 of overrecovery of the planned cumulative net revenue available for repayment, Southeastern will reduce the base capacity charge by $0.02 per kilowatt per month, up to a maximum of $0.75 per kilowatt per month, and reduce the base energy charge by 0.10 mills per kilowatt-hour, up to a maximum of 3.0 mills per kilowatt per hour, to be implemented April 1 of the next fiscal year. Southeastern will give written notice to the customers of the amount of the true-up to the capacity and energy rates by February 1 of the next fiscal year. Additional rates for transmission and ancillary services provided under this rate schedule shall be the rates charged Southeastern Power Administration by the Company. Future adjustments to these rates will become effective upon acceptance for filing by the Federal Energy Regulatory Commission (FERC) of the Company’s rate. Proceedings before FERC involving the Company’s Open Access Transmission Tariff (OATT) or the distribution charge may result in the separation of charges currently included in the transmission rate. In this event, the Government may charge the Customer for any and all separate transmission and distribution charges paid by the Government in behalf of the Customer. Tandem Transmission Charge $1.34 per kilowatt of total contract demand per month, as an estimated cost as of February 2020. The tandem transmission charge will recover the cost of transmitting power from a project to the border of another transmitting system. This rate will be a formulary rate based on the cost to the Government for transmission of power from the Philpott project to the border of the Virginia Electric and Power Company System and the cost to the Government for transmission of power from the John H. Kerr Project to the E:\FR\FM\27AUN1.SGM 27AUN1 Federal Register / Vol. 85, No. 167 / Thursday, August 27, 2020 / Notices border of the Duke Energy Progress System. These charges could be recovered through a capacity charge or an energy charge, as determined by the Government. Transmission and Ancillary Services The charges for transmission and ancillary services shall be governed by and subject to refund based upon the determination in the proceeding involving the Company’s or PJM’s OATT. Contract Demand The contract demand is the amount of capacity in kilowatts stated in the contract which the Government is obligated to supply and the Customer is entitled to receive. Energy To Be Furnished by the Government The Government will sell to the Customer and the Customer will purchase from the Government energy each billing month equivalent to a percentage specified by contract of the energy made available to the Company (less applicable losses). The Customer’s contract demand and accompanying energy will be allocated proportionately to its individual delivery points served from the Company’s system. The applicable energy loss factor for transmission, in accordance with the Government-Company contract, is six (6) percent. This loss factor will be governed by the terms of the Government-Company contract. Applicability This rate schedule shall be applicable to the sale at wholesale of power and accompanying energy generated at the John H. Kerr and Philpott Projects (hereinafter called the Projects) and sold under appropriate contracts between the Government and the Customer. Character of Service The electric capacity and energy supplied hereunder will be delivered at the Projects. Monthly Rate The initial base monthly rate for capacity, energy, and generation services provided under this rate schedule for the period specified shall be: Initial Base Capacity Charge: $4.40 per kilowatt of total contract demand per month. Initial Base Energy Charge: 17.80 mills per kilowatt-hour. The rates are based on a repayment study that projects that the Kerr-Philpott System will produce the following net revenue available for repayment by fiscal year and cumulative net revenue available for repayment by fiscal year: Fiscal year Estimated annual net revenue available for repayment Wholesale Power Rate Schedule DEP–4–D Availability This rate schedule shall be available to public bodies and cooperatives (any one of whom is hereinafter called the Customer) in North Carolina and South Carolina served through the transmission facilities of Duke Energy Progress (formerly known as Carolina Power & Light Company and hereinafter called the Company). The Customer has chosen to self-schedule and does not receive Government power under an arrangement where the Company schedules the power and provides a credit on the Customer’s bill for Government power. The Customer is responsible for providing a scheduling arrangement with the Government and for providing a transmission arrangement. Nothing in this rate The rates include a true-up of the capacity and energy rates based on the variance of the actual cumulative net revenue available for repayment from the planned cumulative net revenue available for repayment in the table above. For every $100,000 underrecovery of the planned cumulative net revenue available for repayment, Southeastern will increase the base capacity charge by $0.02 per kilowatt per month, up to a maximum of $0.75 per kilowatt per month, and increase the base energy charge by 0.10 mills per kilowatt-hour, up to a maximum of 3.0 mills per kilowatt per hour, to be implemented April 1 of the next fiscal year. For every $100,000 of overrecovery of the planned cumulative net revenue available for repayment, VerDate Sep<11>2014 17:09 Aug 26, 2020 Jkt 250001 PO 00000 ........ ........ ........ ........ ........ ........ ........ ........ ........ ........ Cumulative net revenue available for repayment 2020 2021 2022 2023 2024 2025 2026 2027 2028 2029 Billing Month The billing month for power sold under this schedule shall end at 12:00 midnight on the last day of each calendar month. khammond on DSKJM1Z7X2PROD with NOTICES schedule shall preclude modifications to the aforementioned contracts to allow an eligible customer to elect service under another rate schedule. Frm 00036 $200,000 2,560,000 2,940,000 2,360,000 2,430,000 2,130,000 2,210,000 2,310,000 2,420,000 2,530,000 Fmt 4703 Sfmt 4703 $200,000 2,760,000 5,700,000 8,060,000 10,490,000 12,620,000 14,830,000 17,140,000 19,560,000 22,090,000 52977 Southeastern will reduce the base capacity charge by $0.02 per kilowatt per month, up to a maximum of $0.75 per kilowatt per month, and reduce the base energy charge by 0.10 mills per kilowatt-hour, up to a maximum of 3.0 mills per kilowatt per hour, to be implemented April 1 of the next fiscal year. Southeastern will give written notice to the customers of the amount of the true-up to the capacity and energy rates by February 1 of the next fiscal year. Additional rates for transmission and ancillary services provided under this rate schedule shall be the rates charged Southeastern Power Administration by the Company. Future adjustments to these rates will become effective upon acceptance for filing by the Federal Energy Regulatory Commission (FERC) of the Company’s rate. Tandem Transmission Charge $1.34 per kilowatt of total contract demand per month, as an estimated cost as of February 2020. The tandem transmission charge will recover the cost of transmitting power from a project to the border of another transmitting system. This rate will be a formulary rate based on the cost to the Government for transmission of power from the Philpott project to the border of the Virginia Electric and Power Company System and the cost to the Government for transmission of power from the John H. Kerr Project to the border of the Duke Energy Progress System. These charges could be recovered through a capacity charge or an energy charge, as determined by the Government. Transmission and Ancillary Services The charges for transmission and ancillary services shall be governed by and subject to refund based upon the determination in the proceeding involving the Company’s or PJM’s OATT. Contract Demand The contract demand is the amount of capacity in kilowatts stated in the contract which the Government is obligated to supply and the Customer is entitled to receive. Energy To Be Furnished by the Government The Government will sell to the Customer and the Customer will purchase from the Government energy each billing month equivalent to a percentage specified by contract of the energy made available to the Company (less applicable losses). The Customer’s contract demand and accompanying E:\FR\FM\27AUN1.SGM 27AUN1 52978 Federal Register / Vol. 85, No. 167 / Thursday, August 27, 2020 / Notices energy will be allocated proportionately to its individual delivery points served from the Company’s system. The applicable energy loss factor for transmission, in accordance with the Government-Company contract, is six (6) per cent. This loss factor will be governed by the terms of the Government-Company contract. Billing Month The billing month for power sold under this schedule shall end at 12:00 midnight on the last day of each calendar month. Wholesale Power Rate Schedule AP–1–D Availability This rate schedule shall be available to public bodies and cooperatives (any one of whom is hereinafter called the Customer) in Virginia to whom power may be transmitted and scheduled pursuant to contracts between the Government, American Electric Power Service Corporation (hereinafter called the Company), the Company’s Transmission Operator, currently PJM Interconnection LLC (hereinafter called PJM), and the Customer. This rate schedule is applicable to customers receiving power from the Government on an arrangement where the Company schedules the power and provides the Customer a credit on their bill for Government power. Nothing in this rate schedule shall preclude modifications to the aforementioned contracts to allow an eligible customer to elect service under another rate schedule. Applicability This rate schedule shall be applicable to the sale at wholesale of power and accompanying energy generated at the John H. Kerr and Philpott Projects and sold under appropriate contracts between the Government and the Customer. khammond on DSKJM1Z7X2PROD with NOTICES Character of Service The electric capacity and energy supplied hereunder will be delivered at the delivery points of the Customer on the Company’s transmission and distribution system. Monthly Rate The initial base monthly rate for capacity, energy, and generation services provided under this rate schedule for the period specified shall be: Initial Base Capacity Charge: $4.40 per kilowatt of total contract demand per month. Initial Base Energy Charge: 17.80 mills per kilowatt-hour. VerDate Sep<11>2014 17:09 Aug 26, 2020 Jkt 250001 The rates are based on a repayment study that projects that the Kerr-Philpott System will produce the following net revenue available for repayment by fiscal year and cumulative net revenue available for repayment by fiscal year: Fiscal year 2020 2021 2022 2023 2024 2025 2026 2027 2028 2029 Estimated annual net revenue available for repayment ........ ........ ........ ........ ........ ........ ........ ........ ........ ........ Cumulative net revenue available for repayment $200,000 2,560,000 2,940,000 2,360,000 2,430,000 2,130,000 2,210,000 2,310,000 2,420,000 2,530,000 $200,000 2,760,000 5,700,000 8,060,000 10,490,000 12,620,000 14,830,000 17,140,000 19,560,000 22,090,000 The rates include a true-up of the capacity and energy rates based on the variance of the actual cumulative net revenue available for repayment from the planned cumulative net revenue available for repayment in the table above. For every $100,000 underrecovery of the planned cumulative net revenue available for repayment, Southeastern will increase the base capacity charge by $0.02 per kilowatt per month, up to a maximum of $0.75 per kilowatt per month, and increase the base energy charge by 0.10 mills per kilowatt-hour, up to a maximum of 3.0 mills per kilowatt per hour, to be implemented April 1 of the next fiscal year. For every $100,000 of overrecovery of the planned cumulative net revenue available for repayment, Southeastern will reduce the base capacity charge by $0.02 per kilowatt per month, up to a maximum of $0.75 per kilowatt per month, and reduce the base energy charge by 0.10 mills per kilowatt-hour, up to a maximum of 3.0 mills per kilowatt per hour, to be implemented April 1 of the next fiscal year. Southeastern will give written notice to the customers of the amount of the true-up to the capacity and energy rates by February 1 of the next fiscal year. Additional rates for transmission and ancillary services provided under this rate schedule shall be the rates charged Southeastern Power Administration by the Company. Future adjustments to these rates will become effective upon acceptance for filing by the Federal Energy Regulatory Commission (FERC) of the Company’s rate. Transmission $7.32 per kilowatt of total contract demand per month estimated as of February 2020, is presented for illustrative purposes. PO 00000 Frm 00037 Fmt 4703 Sfmt 4703 Ancillary Services 0.81 mills per kilowatt-hour of energy estimated as of February 2020, is presented for illustrative purposes. The initial charge for transmission and Ancillary Services will be the Customer’s ratable share of the charges for transmission, distribution, and ancillary services paid by the Government. The charges for transmission and ancillary services are governed by and subject to refund based upon the determination in proceedings before FERC involving the Company’s or PJM’s Open Access Transmission Tariff (OATT). Proceedings before FERC involving the OATT or the Distribution charge may result in the separation of charges currently included in the transmission rate. In this event, the Government may charge the Customer for any and all separate transmission, ancillary services, and distribution charges paid by the Government in behalf of the Customer. These charges could be recovered through a capacity charge or an energy charge, as determined by the Government. Tandem Transmission Charge $1.34 per kilowatt of total contract demand per month, as an estimated cost as of February 2020. The tandem transmission charge will recover the cost of transmitting power from a project to the border of another transmitting system. This rate will be a formulary rate based on the cost to the Government for transmission of power from the Philpott project to the border of the Virginia Electric and Power Company System and the cost to the Government for transmission of power from the John H. Kerr Project to the border of the Duke Energy Progress System. These charges could be recovered through a capacity charge or an energy charge, as determined by the Government. Transmission and Ancillary Services The charges for transmission and ancillary services shall be governed by and subject to refund based upon the determination in the proceeding involving the Company’s or PJM’s OATT. Capacity Performance Non-Performance Charges Requirements of the PJM capacity performance market may lead to nonperformance charges to Southeastern. These non-performance charges, if incurred, will be allocated to the capacity delivered in PJM (currently 120,100 kilowatts) in the month incurred. E:\FR\FM\27AUN1.SGM 27AUN1 Federal Register / Vol. 85, No. 167 / Thursday, August 27, 2020 / Notices Contract Demand Applicability The contract demand is the amount of capacity in kilowatts stated in the contract which the Government is obligated to supply and the Customer is entitled to receive. This rate schedule shall be applicable to the sale at wholesale of power and accompanying energy generated at the John H. Kerr and Philpott Projects and sold under appropriate contracts between the Government and the Customer. Energy To Be Furnished by the Government The Government will sell to the Customer and the Customer will purchase from the Government energy each billing month equivalent to a percentage specified by contract of the energy made available to the Company (less applicable losses). The Customer’s contract demand and accompanying energy will be allocated proportionately to its individual delivery points served from the Company’s system. The applicable energy loss factor for transmission is specified in the OATT. These losses shall be effective until modified by the Federal Energy Regulatory Commission, pursuant to application by the Company or PJM under Section 205 of the Federal Power Act or Southeastern Power Administration under Section 206 of the Federal Power Act or otherwise. Billing Month The billing month for power sold under this schedule shall end at 12:00 midnight on the last day of each calendar month. khammond on DSKJM1Z7X2PROD with NOTICES Availability This rate schedule shall be available to public bodies and cooperatives (any one of whom is hereinafter called the Customer) in Virginia to whom power may be transmitted pursuant to contracts between the Government, American Electric Power Service Corporation (hereinafter called the Company), the Company’s Transmission Operator, currently PJM Interconnection LLC (hereinafter called PJM), and the Customer. The Customer has chosen to self-schedule and does not receive Government power under an arrangement where the Company schedules the power and provides a credit on the Customer’s bill for Government power. The Customer is responsible for providing a scheduling arrangement with the Government. The Government is responsible for arranging transmission with the Company. Nothing in this rate schedule shall preclude modifications to the aforementioned contracts to allow an eligible customer to elect service under another rate schedule. 17:09 Aug 26, 2020 Jkt 250001 The electric capacity and energy supplied hereunder will be delivered at the delivery points of the Customer on the Company’s transmission and distribution system. Monthly Rate The initial base monthly rate for capacity, energy, and generation services provided under this rate schedule for the period specified shall be: Initial Base Capacity Charge: $4.40 per kilowatt of total contract demand per month. Initial Base Energy Charge: 17.80 mills per kilowatt-hour. The rates are based on a repayment study that projects that the Kerr-Philpott System will produce the following net revenue available for repayment by fiscal year and cumulative net revenue available for repayment by fiscal year: Fiscal year Wholesale Power Rate Schedule AP–2–D VerDate Sep<11>2014 Character of Service 2020 2021 2022 2023 2024 2025 2026 2027 2028 2029 ........ ........ ........ ........ ........ ........ ........ ........ ........ ........ Estimated annual net revenue available for repayment Cumulative net revenue available for repayment $200,000 2,560,000 2,940,000 2,360,000 2,430,000 2,130,000 2,210,000 2,310,000 2,420,000 2,530,000 $200,000 2,760,000 5,700,000 8,060,000 10,490,000 12,620,000 14,830,000 17,140,000 19,560,000 22,090,000 The rates include a true-up of the capacity and energy rates based on the variance of the actual cumulative net revenue available for repayment from the planned cumulative net revenue available for repayment in the table above. For every $100,000 underrecovery of the planned cumulative net revenue available for repayment, Southeastern will increase the base capacity charge by $0.02 per kilowatt per month, up to a maximum of $0.75 per kilowatt per month, and increase the base energy charge by 0.10 mills per kilowatt-hour, up to a maximum of 3.0 mills per kilowatt per hour, to be implemented April 1 of the next fiscal year. For every $100,000 of overrecovery of the planned cumulative net revenue available for repayment, Southeastern will reduce the base PO 00000 Frm 00038 Fmt 4703 Sfmt 4703 52979 capacity charge by $0.02 per kilowatt per month, up to a maximum of $0.75 per kilowatt per month, and reduce the base energy charge by 0.10 mills per kilowatt-hour, up to a maximum of 3.0 mills per kilowatt per hour, to be implemented April 1 of the next fiscal year. Southeastern will give written notice to the customers of the amount of the true-up to the capacity and energy rates by February 1 of the next fiscal year. Additional rates for transmission and ancillary services provided under this rate schedule shall be the rates charged Southeastern Power Administration by the Company. Future adjustments to these rates will become effective upon acceptance for filing by the Federal Energy Regulatory Commission (FERC) of the Company’s rate. Transmission $7.32 per kilowatt of total contract demand per month estimated as of February 2020, is presented for illustrative purposes. Ancillary Services 0.81 mills per kilowatt-hour of energy estimated as of February 2020, is presented for illustrative purposes. The initial charge for transmission and Ancillary Services will be the Customer’s ratable share of the charges for transmission, distribution, and ancillary services paid by the Government. The charges for transmission and ancillary services are governed by and subject to refund based upon the determination in proceedings before FERC involving the Company’s or PJM’s Open Access Transmission Tariff (OATT). Proceedings before FERC involving the OATT or the Distribution charge may result in the separation of charges currently included in the transmission rate. In this event, the Government may charge the Customer for any and all separate transmission, ancillary services, and distribution charges paid by the Government in behalf of the Customer. These charges could be recovered through a capacity charge or an energy charge, as determined by the Government. Tandem Transmission Charge $1.34 per kilowatt of total contract demand per month, as an estimated cost as of February 2020. The tandem transmission charge will recover the cost of transmitting power from a project to the border of another transmitting system. This rate will be a formulary rate based on the cost to the Government for transmission of power from the Philpott project to the border E:\FR\FM\27AUN1.SGM 27AUN1 52980 Federal Register / Vol. 85, No. 167 / Thursday, August 27, 2020 / Notices of the Virginia Electric and Power Company System and the cost to the Government for transmission of power from the John H. Kerr Project to the border of the Duke Energy Progress System. These charges could be recovered through a capacity charge or an energy charge, as determined by the Government. Transmission and Ancillary Services The charges for transmission and ancillary services shall be governed by and subject to refund based upon the determination in the proceeding involving the Company’s or PJM’s OATT. Capacity Performance Non-Performance Charges Requirements of the PJM capacity performance market may lead to nonperformance charges to Southeastern. These non-performance charges, if incurred, will be allocated to the capacity delivered in PJM (currently 120,100 kilowatts) in the month incurred. Availability This rate schedule shall be available to public bodies and cooperatives (any one of whom is hereinafter called the Customer) in Virginia to whom power may be scheduled pursuant to contracts between the Government, American Electric Power Service Corporation (hereinafter called the Company), PJM Interconnection LLC (hereinafter called PJM), and the Customer. The Government is responsible for providing the scheduling. The Customer is responsible for providing a transmission arrangement. Nothing in this rate schedule shall preclude modifications to the aforementioned contracts to allow an eligible customer to elect service under another rate schedule. Applicability This rate schedule shall be applicable to the sale at wholesale of power and accompanying energy generated at the John H. Kerr and Philpott Projects (hereinafter called the Projects) and sold under appropriate contracts between the Government and the Customer. Contract Demand khammond on DSKJM1Z7X2PROD with NOTICES Wholesale Power Rate Schedule AP–3–D The contract demand is the amount of capacity in kilowatts stated in the contract which the Government is obligated to supply and the Customer is entitled to receive. Character of Service Energy To Be Furnished by the Government Monthly Rate The Government will sell to the Customer and the Customer will purchase from the Government energy each billing month equivalent to a percentage specified by contract of the energy made available to the Company (less applicable losses). The Customer’s contract demand and accompanying energy will be allocated proportionately to its individual delivery points served from the Company’s system. The applicable energy loss factor for transmission is specified in the OATT. These losses shall be effective until modified by the Federal Energy Regulatory Commission, pursuant to application by American Electric Power Service Corporation under Section 205 of the Federal Power Act or Southeastern Power Administration under Section 206 of the Federal Power Act or otherwise. Billing Month The billing month for power sold under this schedule shall end at 12:00 midnight on the last day of each calendar month. VerDate Sep<11>2014 17:09 Aug 26, 2020 Jkt 250001 The electric capacity and energy supplied hereunder will be delivered at the Projects. The initial base monthly rate for capacity, energy, and generation services provided under this rate schedule for the period specified shall be: Initial Base Capacity Charge: $4.40 per kilowatt of total contract demand per month. Initial Base Energy Charge: 17.80 mills per kilowatt-hour. The rates are based on a repayment study that projects that the Kerr-Philpott System will produce the following net revenue available for repayment by fiscal year and cumulative net revenue available for repayment by fiscal year: Fiscal year 2020 2021 2022 2023 2024 2025 2026 2027 2028 2029 PO 00000 ........ ........ ........ ........ ........ ........ ........ ........ ........ ........ Frm 00039 Estimated annual net revenue available for repayment Cumulative net revenue available for repayment $200,000 2,560,000 2,940,000 2,360,000 2,430,000 2,130,000 2,210,000 2,310,000 2,420,000 2,530,000 Fmt 4703 Sfmt 4703 $200,000 2,760,000 5,700,000 8,060,000 10,490,000 12,620,000 14,830,000 17,140,000 19,560,000 22,090,000 The rates include a true-up of the capacity and energy rates based on the variance of the actual cumulative net revenue available for repayment from the planned cumulative net revenue available for repayment in the table above. For every $100,000 underrecovery of the planned cumulative net revenue available for repayment, Southeastern will increase the base capacity charge by $0.02 per kilowatt per month, up to a maximum of $0.75 per kilowatt per month, and increase the base energy charge by 0.10 mills per kilowatt-hour, up to a maximum of 3.0 mills per kilowatt per hour, to be implemented April 1 of the next fiscal year. For every $100,000 of overrecovery of the planned cumulative net revenue available for repayment, Southeastern will reduce the base capacity charge by $0.02 per kilowatt per month, up to a maximum of $0.75 per kilowatt per month, and reduce the base energy charge by 0.10 mills per kilowatt-hour, up to a maximum of 3.0 mills per kilowatt per hour, to be implemented April 1 of the next fiscal year. Southeastern will give written notice to the customers of the amount of the true-up to the capacity and energy rates by February 1 of the next fiscal year. Additional rates for transmission and ancillary services provided under this rate schedule shall be the rates charged Southeastern Power Administration by the Company. Future adjustments to these rates will become effective upon acceptance for filing by the Federal Energy Regulatory Commission (FERC) of the Company’s rate. Ancillary Services 0.81 mills per kilowatt-hour of energy estimated as of February 2020, is presented for illustrative purposes. The initial charge for transmission and Ancillary Services will be the Customer’s ratable share of the charges for transmission, distribution, and ancillary services paid by the Government. The charges for transmission and ancillary services are governed by and subject to refund based upon the determination in proceedings before FERC involving the Company’s or PJM’s Open Access Transmission Tariff (OATT). Proceedings before FERC involving the OATT or the Distribution charge may result in the separation of charges currently included in the transmission rate. In this event, the Government may charge the Customer for any and all separate transmission, ancillary services, and distribution charges paid by the Government in behalf of the Customer. These charges could be E:\FR\FM\27AUN1.SGM 27AUN1 Federal Register / Vol. 85, No. 167 / Thursday, August 27, 2020 / Notices recovered through a capacity charge or an energy charge, as determined by the Government. Tandem Transmission Charge $1.34 per kilowatt of total contract demand per month, as an estimated cost as of February 2020. The tandem transmission charge will recover the cost of transmitting power from a project to the border of another transmitting system. This rate will be a formulary rate based on the cost to the Government for transmission of power from the Philpott project to the border of the Virginia Electric and Power Company System and the cost to the Government for transmission of power from the John H. Kerr Project to the border of the Duke Energy Progress System. These charges could be recovered through a capacity charge or an energy charge, as determined by the Government. Transmission and Ancillary Services The charges for transmission and ancillary services shall be governed by and subject to refund based upon the determination in the proceeding involving the Company’s or PJM’s OATT. Capacity Performance Non-Performance Charges Requirements of the PJM capacity performance market may lead to nonperformance charges to Southeastern. These non-performance charges, if incurred, will be allocated to the capacity delivered in PJM (currently 120,100 kilowatts) in the month incurred. The contract demand is the amount of capacity in kilowatts stated in the contract which the Government is obligated to supply and the Customer is entitled to receive. khammond on DSKJM1Z7X2PROD with NOTICES Energy To Be Furnished by the Government Jkt 250001 The billing month for power sold under this schedule shall end at 12:00 midnight on the last day of each calendar month. Wholesale Power Rate Schedule AP–4–D Availability This rate schedule shall be available to public bodies and cooperatives (any one of whom is hereinafter called the Customer) in Virginia served through the facilities of American Electric Power Service Corporation (hereinafter called the Company) and PJM Interconnection LLC (hereinafter called PJM). The Customer has chosen to self-schedule and does not receive Government power under an arrangement where the Company schedules the power and provides a credit on the Customer’s bill for Government power. The Customer is responsible for providing a scheduling arrangement with the Government and for providing a transmission arrangement. Nothing in this rate schedule shall preclude modifications to the aforementioned contracts to allow an eligible customer to elect service under another rate schedule. This rate schedule shall be applicable to the sale at wholesale of power and accompanying energy generated at the John H. Kerr and Philpott Projects (hereinafter called the Projects) and sold under appropriate contracts between the Government and the Customer. Character of Service The electric capacity and energy supplied hereunder will be delivered at the Projects. Monthly Rate The Government will sell to the Customer and the Customer will purchase from the Government energy each billing month equivalent to a percentage specified by contract of the energy made available to the Company (less applicable losses). The Customer’s contract demand and accompanying energy will be allocated proportionately to its individual delivery points served from the Company’s system. The applicable energy loss factor for transmission is specified in the OATT. These losses shall be effective until modified by FERC, pursuant to application by the Company or PJM 17:09 Aug 26, 2020 Billing Month Applicability Contract Demand VerDate Sep<11>2014 under Section 205 of the Federal Power Act or Southeastern Power Administration under Section 206 of the Federal Power Act or otherwise. The initial base monthly rate for capacity, energy, and generation services provided under this rate schedule for the period specified shall be: Initial Base Capacity Charge: $4.40 per kilowatt of total contract demand per month. Initial Base Energy Charge: 17.80 mills per kilowatt-hour. The rates are based on a repayment study that projects that the Kerr-Philpott System will produce the following net revenue available for repayment by fiscal year and cumulative net revenue available for repayment by fiscal year: PO 00000 Frm 00040 Fmt 4703 Sfmt 4703 Estimated annual net revenue available for repayment Fiscal year 2020 2021 2022 2023 2024 2025 2026 2027 2028 2029 ........ ........ ........ ........ ........ ........ ........ ........ ........ ........ $200,000 2,560,000 2,940,000 2,360,000 2,430,000 2,130,000 2,210,000 2,310,000 2,420,000 2,530,000 52981 Cumulative net revenue available for repayment $200,000 2,760,000 5,700,000 8,060,000 10,490,000 12,620,000 14,830,000 17,140,000 19,560,000 22,090,000 The rates include a true-up of the capacity and energy rates based on the variance of the actual cumulative net revenue available for repayment from the planned cumulative net revenue available for repayment in the table above. For every $100,000 underrecovery of the planned cumulative net revenue available for repayment, Southeastern will increase the base capacity charge by $0.02 per kilowatt per month, up to a maximum of $0.75 per kilowatt per month, and increase the base energy charge by 0.10 mills per kilowatt-hour, up to a maximum of 3.0 mills per kilowatt per hour, to be implemented April 1 of the next fiscal year. For every $100,000 of overrecovery of the planned cumulative net revenue available for repayment, Southeastern will reduce the base capacity charge by $0.02 per kilowatt per month, up to a maximum of $0.75 per kilowatt per month, and reduce the base energy charge by 0.10 mills per kilowatt-hour, up to a maximum of 3.0 mills per kilowatt per hour, to be implemented April 1 of the next fiscal year. Southeastern will give written notice to the customers of the amount of the true-up to the capacity and energy rates by February 1 of the next fiscal year. Additional rates for Transmission and Ancillary Services provided under this rate schedule shall be the rates charged Southeastern Power Administration by the Company. Future adjustments to these rates will become effective upon acceptance for filing by the Federal Energy Regulatory Commission (FERC) of the Company’s rate. Ancillary Services 0.81 mills per kilowatt-hour of energy estimated as of February 2020, is presented for illustrative purposes. The initial charge for transmission and Ancillary Services will be the Customer’s ratable share of the charges for transmission, distribution, and ancillary services paid by the Government. The charges for transmission and ancillary services are governed by and subject to refund based E:\FR\FM\27AUN1.SGM 27AUN1 52982 Federal Register / Vol. 85, No. 167 / Thursday, August 27, 2020 / Notices upon the determination in proceedings before FERC involving the Company’s or PJM’s Open Access Transmission Tariff (OATT). Proceedings before FERC involving the OATT or the Distribution charge may result in the separation of charges currently included in the transmission rate. In this event, the Government may charge the Customer for any and all separate transmission, ancillary services, and distribution charges paid by the Government in behalf of the Customer. These charges could be recovered through a capacity charge or an energy charge, as determined by the Government. Tandem Transmission Charge $1.34 per kilowatt of total contract demand per month, as an estimated cost as of February 2020. The tandem transmission charge will recover the cost of transmitting power from a project to the border of another transmitting system. This rate will be a formulary rate based on the cost to the Government for transmission of power from the Philpott project to the border of the Virginia Electric and Power Company System and the cost to the Government for transmission of power from the John H. Kerr Project to the border of the Duke Energy Progress System. These charges could be recovered through a capacity charge or an energy charge, as determined by the Government. Transmission and Ancillary Services The charges for transmission and ancillary services shall be governed by and subject to refund based upon the determination in the proceeding involving the Company’s or PJM’s OATT. Capacity Performance Non-Performance Charges Requirements of the PJM capacity performance market may lead to nonperformance charges to Southeastern. These non-performance charges, if incurred, will be allocated to the capacity delivered in PJM (currently 120,100 kilowatts) in the month incurred. khammond on DSKJM1Z7X2PROD with NOTICES The contract demand is the amount of capacity in kilowatts stated in the contract which the Government is obligated to supply and the Customer is entitled to receive. The Government will sell to the Customer and the Customer will VerDate Sep<11>2014 17:09 Aug 26, 2020 Jkt 250001 Monthly Rate The initial base monthly rate for capacity, energy, and generation services provided under this rate schedule for the period specified shall be: Initial Base Capacity Charge: $4.40 per kilowatt of total contract demand per month. Initial Base Energy Charge: 17.80 mills per kilowatt-hour. The rates are based on a repayment study that projects that the Kerr-Philpott System will produce the following net revenue available for repayment by fiscal year and cumulative net revenue available for repayment by fiscal year: Billing Month Fiscal year The billing month for power sold under this schedule shall end at 12:00 midnight on the last day of each calendar month. Wholesale Power Rate Schedule NC–1–D Availability This rate schedule shall be available to public bodies and cooperatives (any one of whom is hereinafter called the Customer) in Virginia and North Carolina to whom power may be transmitted pursuant to a contract between the Government and Virginia Electric and Power Company (hereinafter called the Virginia Power) and PJM Interconnection LLC (hereinafter called PJM), scheduled pursuant to a contract between the Government and Duke Energy Progress (formerly known as Carolina Power & Light and hereinafter called DEP), and billed pursuant to contracts between the Government and the Customer. Nothing in this rate schedule shall preclude modifications to the aforementioned contracts to allow an eligible customer to elect service under another rate schedule. Applicability Contract Demand Energy To Be Furnished by the Government purchase from the Government energy each billing month equivalent to a percentage specified by contract of the energy made available to the Company (less applicable losses). The Customer’s contract demand and accompanying energy will be allocated proportionately to its individual delivery points served from the Company’s system. The applicable energy loss factor for transmission is specified in the OATT. These losses shall be effective until modified by the Federal Energy Regulatory Commission, pursuant to application by the Company or PJM under Section 205 of the Federal Power Act or Southeastern Power Administration under Section 206 of the Federal Power Act or otherwise. This rate schedule shall be applicable to the sale at wholesale of power and accompanying energy generated at the John H. Kerr and Philpott Projects and sold under appropriate contracts between the Government and the Customer. Character of Service The electric capacity and energy supplied hereunder will be delivered at the delivery points of the Customer on the Virginia Power’s transmission and distribution system. PO 00000 Frm 00041 Fmt 4703 Sfmt 4703 2020 2021 2022 2023 2024 2025 2026 2027 2028 2029 ........ ........ ........ ........ ........ ........ ........ ........ ........ ........ Estimated annual net revenue available for repayment $200,000 2,560,000 2,940,000 2,360,000 2,430,000 2,130,000 2,210,000 2,310,000 2,420,000 2,530,000 Cumulative net revenue available for repayment $200,000 2,760,000 5,700,000 8,060,000 10,490,000 12,620,000 14,830,000 17,140,000 19,560,000 22,090,000 The rates include a true-up of the capacity and energy rates based on the variance of the actual cumulative net revenue available for repayment from the planned cumulative net revenue available for repayment in the table above. For every $100,000 underrecovery of the planned cumulative net revenue available for repayment, Southeastern will increase the base capacity charge by $0.02 per kilowatt per month, up to a maximum of $0.75 per kilowatt per month, and increase the base energy charge by 0.10 mills per kilowatt-hour, up to a maximum of 3.0 mills per kilowatt per hour, to be implemented April 1 of the next fiscal year. For every $100,000 of overrecovery of the planned cumulative net revenue available for repayment, Southeastern will reduce the base capacity charge by $0.02 per kilowatt per month, up to a maximum of $0.75 per kilowatt per month, and reduce the base energy charge by 0.10 mills per kilowatt-hour, up to a maximum of 3.0 mills per kilowatt per hour, to be implemented April 1 of the next fiscal year. Southeastern will give written notice to the customers of the amount of the true-up to the capacity and energy rates by February 1 of the next fiscal year. Additional rates for transmission and ancillary services provided under this rate schedule shall be the rates charged Southeastern Power Administration by E:\FR\FM\27AUN1.SGM 27AUN1 52983 Federal Register / Vol. 85, No. 167 / Thursday, August 27, 2020 / Notices the Virginia Power and DEP. Future adjustments to these rates will become effective upon acceptance for filing by the Federal Energy Regulatory Commission (FERC) of Virginia Power’s or DEP’s rate. Transmission $7.32 per kilowatt of total contract demand per month estimated as of February 2020, is presented for illustrative purposes. Ancillary Services 0.81 mills per kilowatt-hour of energy estimated as of February 2020, is presented for illustrative purposes. The initial charge for transmission and Ancillary Services will be the Customer’s ratable share of the charges for transmission, distribution, and ancillary services paid by the Government. The charges for transmission and ancillary services are governed by and subject to refund based upon the determination in proceedings before FERC involving the Company’s or PJM’s Open Access Transmission Tariff (OATT). Proceedings before FERC involving the OATT or the Distribution charge may result in the separation of charges currently included in the transmission rate. In this event, the Government may charge the Customer for any and all separate transmission, ancillary services, and distribution charges paid by the Government in behalf of the Customer. These charges could be recovered through a capacity charge or an energy charge, as determined by the Government. khammond on DSKJM1Z7X2PROD with NOTICES Tandem Transmission Charge $1.34 per kilowatt of total contract demand per month, as an estimated cost as of February 2020. The tandem transmission charge will recover the cost of transmitting power from a project to the border of another transmitting system. This rate will be a formulary rate based on the cost to the Government for transmission of power from the Philpott project to the border of the Virginia Electric and Power Company System and the cost to the Government for transmission of power from the John H. Kerr Project to the border of the Duke Energy Progress System. These charges could be recovered through a capacity charge or an energy charge, as determined by the Government. Transmission and Ancillary Services The charges for transmission and ancillary services shall be governed by and subject to refund based upon the determination in the proceeding involving the Virginia Power or PJM’s OATT. Transmission, System Control, Reactive, and Regulation Services The charges for transmission and ancillary services shall be governed by and subject to refund based upon the determination in the proceeding involving Virginia Power’s, DEP’s, or PJM’s OATT. Wholesale Power Rate Schedule Replacement–2–B Availability This rate schedule shall be available to public bodies and cooperatives (any one of whom is hereinafter called the Customer) in North Carolina and Virginia to whom power is provided pursuant to contracts between the Government and the customer from the John H. Kerr and Philpott Projects (or Kerr-Philpott System). Applicability Energy To Be Furnished by the Government The Government will sell to the Customer and the Customer will purchase from the Government energy each billing month equivalent to a percentage specified by contract of the energy made available to Virginia Power (less applicable losses). The Customer’s contract demand and accompanying energy will be allocated proportionately to its individual delivery points served from the Virginia Power’s system. The applicable energy loss factor for transmission is specified in the OATT. These losses shall be effective until modified by FERC, pursuant to application by the Company or PJM Character of Service 1230 ...................... 1221 ...................... 853 ........................ 854 ........................ 869 ........................ 855 ........................ 1220 ...................... 1203 ...................... 1204 ...................... 895 ........................ Albemarle EMC ............................................................................. B–A–R–C EC ................................................................................ Brunswick EMC ............................................................................ Carteret-Craven EMC ................................................................... Carteret-Craven EMC ................................................................... Central EMC ................................................................................. Central Virginia EC ....................................................................... City of Bedford .............................................................................. City of Danville .............................................................................. City of Elizabeth City .................................................................... Jkt 250001 The billing month for power sold under this schedule shall end at 12:00 midnight on the last day of each calendar month. This rate schedule shall be applicable to the sale of wholesale energy purchased to meet contract minimum energy and sold under appropriate contracts between the Government and the Customer. Customer 17:09 Aug 26, 2020 Billing Month Contract Demand The contract demand is the amount of capacity in kilowatts stated in the contract which the Government is obligated to supply and the Customer is entitled to receive. Contract Number 89–00–1501– VerDate Sep<11>2014 under Section 205 of the Federal Power Act or Southeastern Power Administration under Section 206 of the Federal Power Act or otherwise. PO 00000 Frm 00042 The energy supplied hereunder will be delivered at the delivery points provided for under appropriate contracts between the Government and the Customer. Monthly Charge The customer will pay its ratable share of Southeastern’s monthly cost for replacement energy. The ratable share will be the cost allocation factor for the customer listed in the table below times Southeastern’s monthly cost for replacement energy purchased for the Kerr-Philpott System, rounded to the nearest $0.01. Capacity allocation Fmt 4703 Sfmt 4703 Average energy 2,593 3,740 3,515 2,679 56 1,239 7,956 1,200 5,600 2,073 E:\FR\FM\27AUN1.SGM 6,978,071 10,099,971 10,069,899 7,674,895 42,281 3,549,532 21,618,671 906,166 4,228,775 1,565,205 27AUN1 Cost allocation factor (percent) 1.5868510 2.2967870 2.2899490 1.7453120 0.0096150 0.8071830 4.9162010 0.2060670 0.9616460 0.3559360 khammond on DSKJM1Z7X2PROD with NOTICES 52984 Federal Register / Vol. 85, No. 167 / Thursday, August 27, 2020 / Notices Contract Number 89–00–1501– Customer 1215 ...................... 878 ........................ 880 ........................ 881 ........................ 1205 ...................... 882 ........................ 1206 ...................... 885 ........................ 1208 ...................... 892 ........................ 889 ........................ 1222 ...................... 1211 ...................... 1231 ...................... 875 ........................ 856 ........................ 891 ........................ 857 ........................ 1232 ...................... 1216 ...................... 858 ........................ 859 ........................ 1223 ...................... 1224 ...................... 1225 ...................... 860 ........................ 861 ........................ 862 ........................ 1226 ...................... 863 ........................ 1227 ...................... 1233 ...................... 1228 ...................... 864 ........................ 1229 ...................... 865 ........................ 1234 ...................... 870 ........................ 871 ........................ 893 ........................ 872 ........................ 1212 ...................... 873 ........................ 1213 ...................... 894 ........................ 1214 ...................... 1218 ...................... 874 ........................ 876 ........................ 896 ........................ 897 ........................ 898 ........................ 877 ........................ 879 ........................ 868 ........................ 883 ........................ 884 ........................ 1207 ...................... 899 ........................ 900 ........................ 886 ........................ 887 ........................ 901 ........................ 888 ........................ 1217 ...................... 1219 ...................... 866 ........................ 867 ........................ City of Franklin .............................................................................. City of Kinston .............................................................................. City of Laurinburg ......................................................................... City of Lumberton ......................................................................... City of Martinsville ........................................................................ City of New Bern .......................................................................... City of Radford .............................................................................. City of Rocky Mount ..................................................................... City of Salem ................................................................................ City of Washington ....................................................................... City of Wilson ................................................................................ Community EC .............................................................................. Craig-Botetourt EC ....................................................................... Edgecombe-Martin County EMC .................................................. Fayetteville Public Works Commission ........................................ Four County EMC ......................................................................... Greenville Utilities Commission .................................................... Halifax EMC .................................................................................. Halifax EMC .................................................................................. Harrisonburg Electric Commission ............................................... Jones-Onslow EMC ...................................................................... Lumbee River EMC ...................................................................... Mecklenburg EMC ........................................................................ Northern Neck EC ........................................................................ Northern Virginia EC ..................................................................... Pee Dee EMC ............................................................................... Piedmont EMC .............................................................................. Pitt & Greene EMC ....................................................................... Prince George EC ........................................................................ Randolph EMC ............................................................................. Rappahannock EC ........................................................................ Roanoke EMC .............................................................................. Shenandoah Valley EMC ............................................................. South River EMC .......................................................................... Southside EC ................................................................................ Tideland EMC ............................................................................... Tideland EMC ............................................................................... Town of Apex ................................................................................ Town of Ayden .............................................................................. Town of Belhaven ......................................................................... Town of Benson ............................................................................ Town of Blackstone ...................................................................... Town of Clayton ............................................................................ Town of Culpepper ....................................................................... Town of Edenton .......................................................................... Town of Elkton .............................................................................. Town of Enfield ............................................................................. Town of Farmville ......................................................................... Town of Fremont .......................................................................... Town of Hamilton .......................................................................... Town of Hertford ........................................................................... Town of Hobgood ......................................................................... Town of Hookerton ....................................................................... Town of La Grange ....................................................................... Town of Louisburg ........................................................................ Town of Pikeville ........................................................................... Town of Red Springs .................................................................... Town of Richlands ........................................................................ Town of Robersonville .................................................................. Town of Scotland Neck ................................................................ Town of Selma .............................................................................. Town of Smithfield ........................................................................ Town of Tarboro ........................................................................... Town of Wake Forest ................................................................... Town of Wakefield ........................................................................ Town of Windsor ........................................................................... Tri-County EMC ............................................................................ Wake EMC .................................................................................... VerDate Sep<11>2014 17:09 Aug 26, 2020 Jkt 250001 PO 00000 Frm 00043 Capacity allocation Fmt 4703 Sfmt 4703 Average energy 1,003 1,466 415 895 1,600 1,204 1,300 2,538 2,200 2,703 2,950 4,230 1,692 4,155 5,431 4,198 7,534 585 2,021 2,691 5,184 3,729 11,344 3,944 3,268 2,968 1,086 1,580 2,530 3,608 22,427 5,528 9,938 6,119 14,575 680 2,418 145 208 182 120 389 161 391 775 171 259 237 60 40 203 46 30 93 857 40 117 500 232 304 183 378 2,145 149 106 331 3,096 2,164 E:\FR\FM\27AUN1.SGM 754,359 1,106,893 313,343 675,764 1,208,222 909,072 981,575 1,916,300 1,661,127 2,040,882 2,227,377 11,439,200 4,593,320 11,327,753 4,100,640 12,026,581 5,688,496 1,675,929 5,499,876 2,050,360 14,851,310 10,682,974 30,927,112 10,613,786 8,910,499 8,502,833 3,111,400 4,526,441 6,808,541 10,336,328 60,687,959 14,963,086 27,049,304 17,529,931 39,223,111 1,948,088 6,579,856 109,482 157,049 137,418 90,605 292,568 121,562 297,916 585,159 128,609 194,810 178,946 45,303 30,202 153,274 34,732 22,651 70,219 2,455,632 30,202 88,340 377,569 175,170 229,533 138,173 285,407 1,619,568 112,501 79,723 248,946 8,869,532 6,199,505 27AUN1 Cost allocation factor (percent) 0.1715450 0.2517130 0.0712560 0.1536720 0.2747560 0.2067280 0.2232150 0.4357770 0.3777490 0.4641070 0.5065170 2.6013350 1.0445460 2.5759920 0.9325070 2.7349090 1.2935940 0.3811150 1.2507010 0.4662630 3.3772670 2.4293650 7.0329910 2.4136320 2.0262950 1.9335900 0.7075490 1.0293370 1.5482990 2.3505360 13.8007690 3.4026860 6.1511560 3.9864000 8.9195450 0.4430060 1.4962940 0.0248970 0.0357140 0.0312500 0.0206040 0.0665320 0.0276440 0.0677480 0.1330680 0.0292460 0.0443010 0.0406930 0.0103020 0.0068680 0.0348550 0.0078980 0.0051510 0.0159680 0.5584240 0.0068680 0.0200890 0.0858610 0.0398350 0.0521970 0.0314210 0.0649030 0.3682980 0.0255830 0.0181290 0.0566120 2.0169790 1.4098010 Federal Register / Vol. 85, No. 167 / Thursday, August 27, 2020 / Notices Contract Number 89–00–1501– Total .............. ....................................................................................................... Energy To Be Furnished by the Government Billing Month The billing month for power sold under this schedule shall end at 12:00 midnight on the last day of each calendar month. [FR Doc. 2020–18821 Filed 8–26–20; 8:45 am] BILLING CODE 6450–01–P DEPARTMENT OF ENERGY Southeastern Power Administration Notice of Interim Approval of Rate Schedules for Cumberland System Southeastern Power Administration, DOE. ACTION: Notice of interim approval. AGENCY: The Administrator for the Southeastern Power Administration (Southeastern) has confirmed and approved, on an interim basis, new rate schedules CBR–1–J, CSI–1–J, CEK–1–J, CM–1–J, CC–1–K, CK–1–J, CTV–1–J, CTVI–1–C, and Replacement–3. The rate schedules are approved on an interim basis through September 30, 2025, and are subject to confirmation and approval by the Federal Energy Regulatory Commission (FERC) on a final basis. DATES: The approval of rates on an interim basis is effective October 1, 2020. khammond on DSKJM1Z7X2PROD with NOTICES SUMMARY: FOR FURTHER INFORMATION CONTACT: Cathy Stillson, Power Marketing Advisor, Finance and Marketing, Southeastern Power Administration, U.S. Department of Energy, 1166 Athens Tech Road, Elberton, Georgia 30635– 6711, (706) 213–3847; Email: Cathy.Stillson@sepa.doe.gov. 17:09 Aug 26, 2020 Jkt 250001 196,500 FERC, by order issued May 6, 2016, 155 FERC ¶ 62,092, confirmed and approved Rate Schedules CBR–1–I, CSI–1–I, CEK–1–I, CM–1–I, CC–1–J, CK–1–I, CTV–1–I, CTVI–1–B and Replacement–3 for the period from October 1, 2015, to September 30, 2020. This order replaces these rate schedules on an interim basis, subject to final approval by FERC. The power marketing policy provides peaking capacity, along with 1500 kilowatt-hours (kWh) of energy with each kilowatt of capacity, to customers outside the Tennessee Valley Authority (TVA) transmission system. A current repayment study using present rates, under the original marketing policy and the application of an annual true-up adjustment, shows that revenues will not be adequate to meet repayment criteria. A revised study shows that a revenue requirement increase of $2,650,000, or about four percent, would be adequate to meet repayment criteria. The rate schedules CBR–1–J, CSI–1–J, and CM–1–J, include rates for customers who receive 1500 kWh of energy annually for each kilowatt of capacity. The transmission and scheduling arrangements under each of these rate schedules are different. Rate Schedule CEK–1–J is for East Kentucky Power Cooperative, which receives a fixed quantity of energy annually from projects connected to the TVA transmission system plus the output of the Laurel Project. Rate Schedule CK–1–J is for customers in Kentucky who receive 1800 kWh of energy annually for each kilowatt of capacity. Rate Schedule CC– 1–K is for customers on the Duke Energy Progress, Western Division. Rate Schedule CTV–1–J is for TVA and Tennessee Valley Public Power Association (TVPPA). Rate Schedule CTVI–1–C is for customers inside the TVA system who choose a power supplier other than TVA. The rate schedules continue adjustments annually on April 1 of each year, based on transfers of specific power investment to plant-in-service for the preceding Fiscal Year, to the base demand charge and base additional energy charge. The annual adjustment will be, for each increase of $1,000,000 to specific power plant-in-service, an SUPPLEMENTARY INFORMATION: The Government will sell to the Customer and the Customer will purchase from the Government energy each billing month equivalent to a percentage specified by contract of the energy made available to the Facilitator (less any losses required by the Facilitator). The customer’s contract demand and accompanying energy will be allocated proportionately to its individual delivery points served from the Facilitator’s system. VerDate Sep<11>2014 Capacity allocation Customer PO 00000 Frm 00044 Fmt 4703 Sfmt 4703 Average energy 439,743,400 52985 Cost allocation factor (percent) 100.0000000 increase of $0.003 per kilowatt per month added to the base capacity rate and an increase of 0.013 mills per kWh added to the base additional energy rate. Southeastern will give written notice to the customers of the amount of the trueup by February 1 of each year. Signing Authority This document of the Department of Energy was signed on August 18, 2020, by Virgil G. Hobbs, III, Administrator for Southeastern 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 August 21, 2020. Treena V. Garrett, Federal Register Liaison Officer, U.S. Department of Energy. Department of Energy Administrator, Southeastern Power Administration In the Matter of: Southeastern Power Administration Cumberland System Power Rates Rate Order No. SEPA–64 Order Confirming and Approving Power Rates on an Interim Basis Pursuant to Section 302(a) of the Department of Energy Organization Act (Pub. L. 95–91, 42 U.S.C. 7152(a)), the functions of the Secretary of the Interior and the Federal Power Commission under Section 5 of the Flood Control Act of 1944 (16 U.S.C. 825s), relating to the Southeastern Power Administration (Southeastern), were transferred to and vested in the Secretary of Energy. By Delegation Order No. 00–037.00B, effective November 19, 2016, the Secretary of Energy delegated to Southeastern’s Administrator the authority to develop power and E:\FR\FM\27AUN1.SGM 27AUN1

Agencies

[Federal Register Volume 85, Number 167 (Thursday, August 27, 2020)]
[Notices]
[Pages 52968-52985]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2020-18821]


=======================================================================
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DEPARTMENT OF ENERGY

Southeastern Power Administration


Notice of Interim Approval of Rate Schedules for Kerr-Philpott 
System

AGENCY: Southeastern Power Administration, Energy (DOE).

ACTION: Notice of interim approval.

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

SUMMARY: The Administrator for the Southeastern Power Administration 
(Southeastern) has confirmed and approved, on an interim basis, new 
rate schedules VA-1-D, VA-2-D, VA-3-D, VA-4-D, DEP-1-D, DEP-2-D, DEP-3-
D, DEP-4-D, AP-1-D, AP-2-D, AP-3-D, AP-4-D, NC-1-D, and Replacement-2-
C. These rate schedules are applicable to Southeastern power sold to 
existing preference customers in the Virginia and North Carolina 
service area. The rate schedules are approved on an interim basis 
through September 30, 2025, and are subject to confirmation and 
approval by the Federal Energy Regulatory Commission (FERC) on a final 
basis.

DATES: The approval of rates on an interim basis is effective October 
1, 2020.

FOR FURTHER INFORMATION CONTACT: Cathy Stillson, Power Marketing 
Advisor, Finance and Marketing, Southeastern Power Administration, U.S. 
Department of Energy, 1166 Athens Tech Road, Elberton, Georgia 30635-
6711, (706) 213-3847; Email: [email protected].

SUPPLEMENTARY INFORMATION: FERC, by order issued February 24, 2016, 154 
FERC ] 62,129, confirmed and approved Rate Schedules VA-1-C, VA-2-C, 
VA-3-C, VA-4-C, DEP-1-C, DEP-2-C, DEP-3-C, DEP-4-C, AP-1-C, AP-2-C, AP-
3-C, AP-4-C, NC-1-C, and Replacement-2-B, for the period October 1, 
2015, through September 30, 2020. This order replaces these rate 
schedules on an interim basis, subject to final approval by FERC.

Signing Authority

    This document of the Department of Energy was signed on August 18, 
2020, by Virgil G. Hobbs, III, Administrator for Southeastern 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 August 21, 2020.
Treena V. Garrett,
Federal Register Liaison Officer, U.S. Department of Energy.

DEPARTMENT OF ENERGY

ADMINISTRATOR, SOUTHEASTERN POWER ADMINISTRATION

In the Matter of:

Southeastern Power Administration
Kerr-Philpott System Power Rates
Rate Order No. SEPA-63

Order Confirming and Approving Power Rates on an Interim Basis

    Pursuant to Section 302(a) of the Department of Energy Organization 
Act (Pub. L. 95-91, 42 U.S.C. 7152(a)), the functions of the Secretary 
of the Interior and the Federal Power Commission under Section 5 of the 
Flood Control Act of 1944 (16 U.S.C. 825s), relating to the 
Southeastern Power Administration (Southeastern), were transferred to 
and vested in the Secretary of Energy. By Delegation Order No. 00-
037.00B, effective November 19, 2016, the Secretary of Energy delegated 
to Southeastern's Administrator the authority to develop power and 
transmission rates, to the Deputy Secretary of Energy the authority to 
confirm, approve, and place such rates into effect on an interim basis, 
and to the Federal Energy Regulatory Commission (FERC) the authority to 
confirm, approve, and place into effect on a final basis, or to 
disapprove, rates developed by the Administrator under the delegation. 
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. 00-002.10-03, effective July 8, 2020, the 
Assistant Secretary for Electricity further delegated the authority to 
confirm, approve, and place such rates into effect on an interim basis 
to the Administrator, Southeastern Power Administration. This rate is 
issued by the Administrator, Southeastern Power Administration pursuant 
to the authority delegated in Redelegation Order No. 00-002.10-03.

Background

    Power from the Kerr-Philpott Projects is presently sold under 
Wholesale Power Rate Schedules VA-1-C, VA-2-C, VA-3-C, VA-4-C, DEP-1-C, 
DEP-2-C, DEP-3-C, DEP-4-C, AP-1-C, AP-2-C, AP-3-C, AP-4-C, NC-1-C, and 
Replacement-2-B. These rate schedules were approved by FERC on February 
24, 2016, for a period ending September 30, 2020 (154 FERC ] 62,129).

Public Notice and Comment

    Notice of proposed rates and opportunities for public review and 
comment for the Kerr-Philpott System was published in the Federal 
Register (85 FR 17572) on March 30, 2020. Southeastern proposed to 
update and extend existing schedules of rates and charges applicable to 
the sale of power from the Kerr Philpott System effective October 1, 
2020, through September 30, 2025. The notice advised interested parties 
of Southeastern's determination that holding a public information and 
comment forum for this rate action, in accordance with 10 CFR 
903.23(a), would not be necessary. Instead, Southeastern announced a 
30-day

[[Page 52969]]

consultation and comment period to give the public an opportunity to 
comment, with written comments due on or before April 29, 2020.
    The proposed rate schedules extended the existing initial base rate 
of $4.40 per kilowatt per month for capacity and the initial base rate 
of 17.80 mills per kilowatt-hour charge for energy, which expire 
September 30, 2020, through September 30, 2025. The rates are based on 
a repayment study estimating the Kerr-Philpott System will produce the 
following net revenue available for repayment (rounded to the nearest 
$10,000):

------------------------------------------------------------------------
                                     Estimated annual
                                       net revenue       Cumulative net
            Fiscal year               available for    revenue available
                                        repayment        for repayment
------------------------------------------------------------------------
2020..............................           $200,000           $200,000
2021..............................          2,560,000          2,760,000
2022..............................          2,940,000          5,700,000
2023..............................          2,360,000          8,060,000
2024..............................          2,430,000         10,490,000
2025..............................          2,130,000         12,620,000
2026..............................          2,210,000         14,830,000
2027..............................          2,310,000         17,140,000
2028..............................          2,420,000         19,560,000
2029..............................          2,530,000         22,090,000
------------------------------------------------------------------------

    The proposed rates continue a true-up of the capacity and energy 
rates based on the cumulative net revenue available for repayment from 
the table above. For every $100,000 under-recovery of the planned 
cumulative net revenue available for repayment, Southeastern will 
increase the base capacity charge by $0.02 per kilowatt per month, up 
to a maximum of $0.75 per kilowatt per month, and increase the base 
energy charge by 0.10 mills per kilowatt-hour, up to a maximum of 3.0 
mills per kilowatt-hour. For every $100,000 over-recovery of the 
planned cumulative net revenue available for repayment, Southeastern 
will reduce the base capacity charge by $0.02 per kilowatt per month, 
up to a maximum of $0.75 per kilowatt per month, and reduce the base 
energy charge by 0.10 mills per kilowatt-hour, up to a maximum of 3.0 
mills per kilowatt-hour, to be implemented April 1 of the next fiscal 
year. The extension of rates and the continuation of the true-up based 
on the updated amounts of cumulative net revenue available for 
repayment ensure repayment within cost recovery criteria.

Public Comments

    Southeastern received no comments in response to the ``Notice of 
proposed rates and opportunities for public review and comment'' 
published in the Federal Register at 85 FR 17572 on March 30, 2020.

Discussion

System Repayment

    An examination of Southeastern's revised system power repayment 
study, prepared in March 2020 for the Kerr-Philpott System, shows that 
with the proposed rates, all system power costs are repaid within the 
appropriate repayment period and meet the cost recovery criteria set 
forth in DOE Order RA 6120.2. The Administrator of Southeastern Power 
Administration has certified that the rates are consistent with 
applicable law, and that they are the lowest possible rates to 
customers consistent with sound business principles.

Environmental Impact

    Southeastern has reviewed the possible environmental impacts of the 
rate adjustment under consideration and has concluded that, because the 
adjusted rates would not significantly affect the quality of the human 
environment within the meaning of the National Environmental Policy Act 
of 1969, as amended, the proposed action is not a major Federal action 
for which preparation of an Environmental Impact Statement is required.

Determination Under Executive Order 12866

    Southeastern 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.

Availability of Information

    Information regarding these rates, including studies and other 
supporting materials is available for public review in the offices of 
Southeastern Power Administration, 1166 Athens Tech Road, Elberton, 
Georgia 30635, and in the Power Marketing Liaison Office, James 
Forrestal Building, 1000 Independence Avenue SW, Washington, DC 20585.

Order

    In view of the foregoing and pursuant to the authority redelegated 
to me by the Assistant Secretary for Electricity, I hereby confirm and 
approve on an interim basis, effective October 1, 2020, attached 
Wholesale Power Rate Schedules VA-1-D, VA-2-D, VA-3-D, VA-4-D, DEP-1-D, 
DEP-2-D, DEP-3-D, DEP-4-D, AP-1-D, AP-2-D, AP-3-D, AP-4-D, NC-1-D, and 
Replacement-2-C. The Rate Schedules shall remain in effect on an 
interim basis through September 30, 2025, unless such period is 
extended or until FERC confirms and approves them or substitutes Rate 
Schedules on a final basis.

Dated: August 18, 2020.

Virgil G. Hobbs, III,
Administrator, Southeastern Power Administration.

Wholesale Power Rate Schedule VA-1-D

Availability

    This rate schedule shall be available to public bodies and 
cooperatives (any one of whom is hereinafter called the Customer) in 
Virginia and North Carolina to whom power may be transmitted and 
scheduled pursuant to contracts between the Government, Virginia 
Electric and Power Company (hereinafter called the Company), the 
Company's Transmission Operator, currently PJM Interconnection LLC 
(hereinafter called PJM), and the Customer. This rate schedule is 
applicable to customers receiving power from the Government on an 
arrangement where the Company schedules the power and provides the 
Customer a credit on their bill for Government power. Nothing in this 
rate schedule shall preclude modifications to the aforementioned 
contracts to allow an eligible customer to elect service under another 
rate schedule.

[[Page 52970]]

Applicability

    This rate schedule shall be applicable to the sale at wholesale of 
power and accompanying energy generated at the John H. Kerr and 
Philpott Projects and sold under appropriate contracts between the 
Government and the Customer.

Character of Service

    The electric capacity and energy supplied hereunder will be 
delivered at the delivery points of the Customer on the Company's 
transmission and distribution system.

Monthly Rate

    The initial base monthly rate for capacity, energy, and generation 
services provided under this rate schedule for the period specified 
shall be:
    Initial Base Capacity Charge:
    $4.40 per kilowatt of total contract demand per month.
    Initial Base Energy Charge:
    17.80 mills per kilowatt-hour.
    The rates are based on a repayment study that projects that the 
Kerr-Philpott System will produce the following net revenue available 
for repayment by fiscal year and cumulative net revenue available for 
repayment by fiscal year:

------------------------------------------------------------------------
                                     Estimated annual
                                       net revenue       Cumulative net
            Fiscal year               available for    revenue available
                                        repayment        for repayment
------------------------------------------------------------------------
2020..............................           $200,000           $200,000
2021..............................          2,560,000          2,760,000
2022..............................          2,940,000          5,700,000
2023..............................          2,360,000          8,060,000
2024..............................          2,430,000         10,490,000
2025..............................          2,130,000         12,620,000
2026..............................          2,210,000         14,830,000
2027..............................          2,310,000         17,140,000
2028..............................          2,420,000         19,560,000
2029..............................          2,530,000         22,090,000
------------------------------------------------------------------------

    The rates include a true-up of the capacity and energy rates based 
on the variance of the actual cumulative net revenue available for 
repayment from the planned cumulative net revenue available for 
repayment in the table above. For every $100,000 under-recovery of the 
planned cumulative net revenue available for repayment, Southeastern 
will increase the base capacity charge by $0.02 per kilowatt per month, 
up to a maximum of $0.75 per kilowatt per month, and increase the base 
energy charge by 0.10 mills per kilowatt-hour, up to a maximum of 3.0 
mills per kilowatt per hour, to be implemented April 1 of the next 
fiscal year. For every $100,000 of over-recovery of the planned 
cumulative net revenue available for repayment, Southeastern will 
reduce the base capacity charge by $0.02 per kilowatt per month, up to 
a maximum of $0.75 per kilowatt per month, and reduce the base energy 
charge by 0.10 mills per kilowatt-hour, up to a maximum of 3.0 mills 
per kilowatt per hour, to be implemented April 1 of the next fiscal 
year. Southeastern will give written notice to the customers of the 
amount of the true-up to the capacity and energy rates by February 1 of 
the next fiscal year.
    Additional rates for transmission and any ancillary services 
provided under this rate schedule shall be the rates charged 
Southeastern Power Administration by the Company or PJM. Future 
adjustments to these rates will become effective upon acceptance for 
filing by the Federal Energy Regulatory Commission (FERC) of the 
Company's rate.

Transmission

    $7.32 per kilowatt of total contract demand per month estimated as 
of February 2020, is presented for illustrative purposes.

Ancillary Services

    0.81 mills per kilowatt-hour of energy estimated as of February 
2020, is presented for illustrative purposes.
    The initial charge for transmission and Ancillary Services will be 
the Customer's ratable share of the charges for transmission, 
distribution, and ancillary services paid by the Government. The 
charges for transmission and ancillary services are governed by and 
subject to refund based upon the determination in proceedings before 
FERC involving the Company's or PJM's Open Access Transmission Tariff 
(OATT).
    Proceedings before FERC involving the OATT or the Distribution 
charge may result in the separation of charges currently included in 
the transmission rate. In this event, the Government may charge the 
Customer for any and all separate transmission, ancillary services, and 
distribution charges paid by the Government in behalf of the Customer. 
These charges could be recovered through a capacity charge or an energy 
charge, as determined by the Government.

Tandem Transmission Charge

    $1.34 per kilowatt of total contract demand per month, as an 
estimated cost as of February 2020.
    The tandem transmission charge will recover the cost of 
transmitting power from a project to the border of another transmitting 
system. This rate will be a formulary rate based on the cost to the 
Government for transmission of power from the Philpott project to the 
border of the Virginia Electric and Power Company System and the cost 
to the Government for transmission of power from the John H. Kerr 
Project to the border of the Duke Energy Progress System. These charges 
could be recovered through a capacity charge or an energy charge, as 
determined by the Government.

Transmission and Ancillary Services

    The charges for transmission and ancillary services shall be 
governed by and subject to refund based upon the determination in the 
proceeding involving the Company's or PJM's OATT.

Capacity Performance Non-Performance Charge

    Requirements of the PJM capacity performance market may lead to 
non-performance charges to Southeastern. These non-performance charges, 
if incurred, will be allocated to the capacity delivered in PJM 
(currently 120,100 kilowatts) in the month incurred.

Contract Demand

    The contract demand is the amount of capacity in kilowatts stated 
in the contract which the Government is obligated to supply and the 
Customer is entitled to receive.

Energy To Be Furnished by the Government

    The Government will sell to the Customer and the Customer will 
purchase from the Government energy each billing month equivalent to a 
percentage specified by contract of the energy made available to the 
Company (less applicable losses). The Customer's contract demand and 
accompanying energy will be allocated proportionately to its individual 
delivery points served from the Company's system. The applicable energy 
loss factor for transmission is specified in the OATT.
    These losses shall be effective until modified by FERC, pursuant to 
application by the Company or PJM under Section 205 of the Federal 
Power Act or Southeastern Power Administration under Section 206 of the 
Federal Power Act or otherwise.

Billing Month

    The billing month for power sold under this schedule shall end at 
12:00 midnight on the last day of each calendar month.

[[Page 52971]]

Wholesale Power Rate Schedule VA-2-D

Availability

    This rate schedule shall be available to public bodies and 
cooperatives (any one of whom is hereinafter called the Customer) in 
Virginia and North Carolina to whom power may be transmitted pursuant 
to contracts between the Government, Virginia Electric and Power 
Company (hereinafter called the Company), the Company's Transmission 
Operator, currently PJM Interconnection LLC (hereinafter called PJM), 
and the Customer. The Customer has chosen to self-schedule and does not 
receive Government power under an arrangement where the Company 
schedules the power and provides a credit on the Customer's bill for 
Government power. The Customer is responsible for providing a 
scheduling arrangement with the Government. The Government is 
responsible for arranging transmission with the Company and PJM. 
Nothing in this rate schedule shall preclude modifications to the 
aforementioned contracts to allow an eligible customer to elect service 
under another rate schedule.

Applicability

    This rate schedule shall be applicable to the sale at wholesale of 
power and accompanying energy generated at the John H. Kerr and 
Philpott Projects and sold under appropriate contracts between the 
Government and the Customer.

Character of Service

    The electric capacity and energy supplied hereunder will be 
delivered at the delivery points of the Customer on the Company's 
transmission and distribution system.

Monthly Rate

    The initial base monthly rate for capacity, energy, and generation 
services provided under this rate schedule for the period specified 
shall be:
    Initial Base Capacity Charge: $4.40 per kilowatt of total contract 
demand per month.
    Initial Base Energy Charge: 17.80 mills per kilowatt-hour.
    The rates are based on a repayment study that projects that the 
Kerr-Philpott System will produce the following net revenue available 
for repayment by fiscal year and cumulative net revenue available for 
repayment by fiscal year:

------------------------------------------------------------------------
                                     Estimated annual
                                       net revenue       Cumulative net
            Fiscal year               available for    revenue available
                                        repayment        for repayment
------------------------------------------------------------------------
2020..............................           $200,000           $200,000
2021..............................          2,560,000          2,760,000
2022..............................          2,940,000          5,700,000
2023..............................          2,360,000          8,060,000
2024..............................          2,430,000         10,490,000
2025..............................          2,130,000         12,620,000
2026..............................          2,210,000         14,830,000
2027..............................          2,310,000         17,140,000
2028..............................          2,420,000         19,560,000
2029..............................          2,530,000         22,090,000
------------------------------------------------------------------------

    The rates include a true-up of the capacity and energy rates based 
on the variance of the actual cumulative net revenue available for 
repayment from the planned cumulative net revenue available for 
repayment in the table above. For every $100,000 under-recovery of the 
planned cumulative net revenue available for repayment, Southeastern 
will increase the base capacity charge by $0.02 per kilowatt per month, 
up to a maximum of $0.75 per kilowatt per month, and increase the base 
energy charge by 0.10 mills per kilowatt-hour, up to a maximum of 3.0 
mills per kilowatt per hour, to be implemented April 1 of the next 
fiscal year. For every $100,000 of over-recovery of the planned 
cumulative net revenue available for repayment, Southeastern will 
reduce the base capacity charge by $0.02 per kilowatt per month, up to 
a maximum of $0.75 per kilowatt per month, and reduce the base energy 
charge by 0.10 mills per kilowatt-hour, up to a maximum of 3.0 mills 
per kilowatt per hour, to be implemented April 1 of the next fiscal 
year. Southeastern will give written notice to the customers of the 
amount of the true-up to the capacity and energy rates by February 1 of 
the next fiscal year.
    Additional rates for transmission and any ancillary services 
provided under this rate schedule shall be the rates charged 
Southeastern Power Administration by the Company or PJM. Future 
adjustments to these rates will become effective upon acceptance for 
filing by the Federal Energy Regulatory Commission (FERC) of the 
Company's rate.

Transmission

    $7.32 per kilowatt of total contract demand per month estimated as 
of February 2020, is presented for illustrative purposes.

Ancillary Services

    0.81 mills per kilowatt-hour of energy estimated as of February 
2020, is presented for illustrative purposes.
    The initial charge for transmission and ancillary services will be 
the Customer's ratable share of the charges for transmission, 
distribution, and ancillary services paid by the Government. The 
charges for transmission and ancillary services are governed by and 
subject to refund based upon the determination in proceedings before 
FERC involving the Company's or PJM's Open Access Transmission Tariff 
(OATT).
    Proceedings before FERC involving the OATT or the distribution 
charge may result in the separation of charges currently included in 
the transmission rate. In this event, the Government may charge the 
Customer for any and all separate transmission, ancillary services, and 
distribution charges paid by the Government in behalf of the Customer. 
These charges could be recovered through a capacity charge or an energy 
charge, as determined by the Government.

Tandem Transmission Charge

    $1.34 per kilowatt of total contract demand per month, as an 
estimated cost as of February 2020.
    The tandem transmission charge will recover the cost of 
transmitting power from a project to the border of another transmitting 
system. This rate will be a formulary rate based on the cost to the 
Government for transmission of power from the Philpott project to the 
border of the Virginia Electric and Power Company System and the cost 
to the Government for transmission of power from the John H. Kerr 
Project to the border of the Duke Energy Progress System. These charges 
could be recovered through a capacity charge or an energy charge, as 
determined by the Government.

Transmission and Ancillary Services

    The charges for transmission and ancillary services shall be 
governed by and subject to refund based upon the determination in the 
proceeding involving the Company's or PJM's OATT.

Capacity Performance Non-Performance Charge

    Requirements of the PJM capacity performance market may lead to 
non-performance charges to Southeastern. These non-performance charges, 
if incurred, will be allocated to the capacity delivered in PJM 
(currently 120,100 kilowatts) in the month incurred.

Contract Demand

    The contract demand is the amount of capacity in kilowatts stated 
in the contract which the Government is

[[Page 52972]]

obligated to supply and the Customer is entitled to receive.

Energy To Be Furnished by the Government

    The Government will sell to the Customer and the Customer will 
purchase from the Government energy each billing month equivalent to a 
percentage specified by contract of the energy made available to the 
Company (less applicable losses). The Customer's contract demand and 
accompanying energy will be allocated proportionately to its individual 
delivery points served from the Company's system. The applicable energy 
loss factor for transmission is specified in the OATT.
    These losses shall be effective until modified by FERC, pursuant to 
application by the Company or PJM under Section 205 of the Federal 
Power Act or Southeastern Power Administration under Section 206 of the 
Federal Power Act or otherwise.

Billing Month

    The billing month for power sold under this schedule shall end at 
12:00 midnight on the last day of each calendar month.

Wholesale Power Rate Schedule VA-3-D

Availability

    This rate schedule shall be available to public bodies and 
cooperatives (any one of whom is hereinafter called the Customer) in 
Virginia and North Carolina to whom power may be scheduled pursuant to 
contracts between the Government, Virginia Electric and Power Company 
(hereinafter called the Company), the Company's Transmission Operator, 
currently PJM Interconnection LLC (hereinafter called PJM), and the 
Customer. The Government is responsible for providing the scheduling. 
The Customer is responsible for providing a transmission arrangement. 
Nothing in this rate schedule shall preclude modifications to the 
aforementioned contracts to allow an eligible customer to elect service 
under another rate schedule.

Applicability

    This rate schedule shall be applicable to the sale at wholesale of 
power and accompanying energy generated at the John H. Kerr and 
Philpott Projects (hereinafter called the Projects) and sold under 
appropriate contracts between the Government and the Customer.

Character of Service

    The electric capacity and energy supplied hereunder will be 
delivered at the Projects.

Monthly Rate

    The initial base monthly rate for capacity, energy, and generation 
services provided under this rate schedule for the period specified 
shall be:
    Initial Base Capacity Charge:
    $4.40 per kilowatt of total contract demand per month.
    Initial Base Energy Charge:
    17.80 mills per kilowatt-hour.
    The rates are based on a repayment study that projects that the 
Kerr-Philpott System will produce the following net revenue available 
for repayment by fiscal year and cumulative net revenue available for 
repayment by fiscal year:

------------------------------------------------------------------------
                                     Estimated annual
                                       net revenue       Cumulative net
            Fiscal year               available for    revenue available
                                        repayment        for repayment
------------------------------------------------------------------------
2020..............................           $200,000           $200,000
2021..............................          2,560,000          2,760,000
2022..............................          2,940,000          5,700,000
2023..............................          2,360,000          8,060,000
2024..............................          2,430,000         10,490,000
2025..............................          2,130,000         12,620,000
2026..............................          2,210,000         14,830,000
2027..............................          2,310,000         17,140,000
2028..............................          2,420,000         19,560,000
2029..............................          2,530,000         22,090,000
------------------------------------------------------------------------

    The rates include a true-up of the capacity and energy rates based 
on the variance of the actual cumulative net revenue available for 
repayment from the planned cumulative net revenue available for 
repayment in the table above. For every $100,000 under-recovery of the 
planned cumulative net revenue available for repayment, Southeastern 
will increase the base capacity charge by $0.02 per kilowatt per month, 
up to a maximum of $0.75 per kilowatt per month, and increase the base 
energy charge by 0.10 mills per kilowatt-hour, up to a maximum of 3.0 
mills per kilowatt per hour, to be implemented April 1 of the next 
fiscal year. For every $100,000 of over-recovery of the planned 
cumulative net revenue available for repayment, Southeastern will 
reduce the base capacity charge by $0.02 per kilowatt per month, up to 
a maximum of $0.75 per kilowatt per month, and reduce the base energy 
charge by 0.10 mills per kilowatt-hour, up to a maximum of 3.0 mills 
per kilowatt per hour, to be implemented April 1 of the next fiscal 
year. Southeastern will give written notice to the customers of the 
amount of the true-up to the capacity and energy rates by February 1 of 
the next fiscal year.
    Additional rates for Transmission and Ancillary Services provided 
under this rate schedule shall be the rates charged Southeastern Power 
Administration by the Company or PJM. Future adjustments to these rates 
will become effective upon acceptance for filing by the Federal Energy 
Regulatory Commission (FERC) of the Company's rate.

Ancillary Services

    0.81 mills per kilowatt-hour of energy estimated as of February 
2020, is presented for illustrative purposes.
    The initial charge for transmission and Ancillary Services will be 
the Customer's ratable share of the charges for transmission, 
distribution, and ancillary services paid by the Government. The 
charges for transmission and ancillary services are governed by and 
subject to refund based upon the determination in proceedings before 
FERC involving the Company's or PJM's Open Access Transmission Tariff 
(OATT).
    Proceedings before FERC involving the OATT or the Distribution 
charge may result in the separation of charges currently included in 
the transmission rate. In this event, the Government may charge the 
Customer for any and all separate transmission, ancillary services, and 
distribution charges paid by the Government in behalf of the Customer. 
These charges could be recovered through a capacity charge or an energy 
charge, as determined by the Government.

Tandem Transmission Charge

    $1.34 per kilowatt of total contract demand per month, as an 
estimated cost as of February 2020.
    The tandem transmission charge will recover the cost of 
transmitting power from a project to the border of another transmitting 
system. This rate will be a formulary rate based on the cost to the 
Government for transmission of power from the Philpott project to the 
border of the Virginia Electric and Power Company System and the cost 
to the Government for transmission of power from the John H. Kerr 
Project to the border of the Duke Energy Progress System. These charges 
could be recovered through a capacity charge or an energy charge, as 
determined by the Government.

Transmission and Ancillary Services

    The charges for transmission and ancillary services shall be 
governed by and subject to refund based upon the determination in the 
proceeding involving the Company's or PJM's OATT.

[[Page 52973]]

Capacity Performance Non-Performance Charge

    Requirements of the PJM capacity performance market may lead to 
non-performance charges to Southeastern. These non-performance charges, 
if incurred, will be allocated to the capacity delivered in PJM 
(currently 120,100 kilowatts) in the month incurred.

Contract Demand

    The contract demand is the amount of capacity in kilowatts stated 
in the contract which the Government is obligated to supply and the 
Customer is entitled to receive.

Energy To Be Furnished by the Government

    The Government will sell to the Customer and the Customer will 
purchase from the Government energy each billing month equivalent to a 
percentage specified by contract of the energy made available to the 
Company (less applicable losses). The Customer's contract demand and 
accompanying energy will be allocated proportionately to its individual 
delivery points served from the Company's system. The applicable energy 
loss factor for transmission is specified in the OATT.
    These losses shall be effective until modified by the Federal 
Energy Regulatory Commission, pursuant to application by the Company or 
PJM under Section 205 of the Federal Power Act or Southeastern Power 
Administration under Section 206 of the Federal Power Act or otherwise.

Billing Month

    The billing month for power sold under this schedule shall end at 
12:00 midnight on the last day of each calendar month.

Wholesale Power Rate Schedule VA-4-D

Availability

    This rate schedule shall be available to public bodies and 
cooperatives (any one of whom is hereinafter called the Customer) in 
Virginia and North Carolina served through the transmission facilities 
of Virginia Electric and Power Company (hereinafter called the Company) 
and PJM Interconnection LLC (hereinafter called PJM). The Customer has 
chosen to self-schedule and does not receive Government power under an 
arrangement where the Company schedules the power and provides a credit 
on the Customer's bill for Government power. The Customer is 
responsible for providing a scheduling arrangement with the Government 
and for providing a transmission arrangement. Nothing in this rate 
schedule shall preclude modifications to the aforementioned contracts 
to allow an eligible customer to elect service under another rate 
schedule.

Applicability

    This rate schedule shall be applicable to the sale at wholesale of 
power and accompanying energy generated at the John H. Kerr and 
Philpott Projects (hereinafter called the Projects) and sold under 
appropriate contracts between the Government and the Customer.

Character of Service

    The electric capacity and energy supplied hereunder will be 
delivered at the Projects.

Monthly Rate

    The initial base monthly rate for capacity, energy, and generation 
services provided under this rate schedule for the period specified 
shall be:
    Initial Base Capacity Charge:
    $4.40 per kilowatt of total contract demand per month.
    Initial Base Energy Charge:
    17.80 mills per kilowatt-hour.
    The rates are based on a repayment study that projects that the 
Kerr-Philpott System will produce the following net revenue available 
for repayment by fiscal year and cumulative net revenue available for 
repayment by fiscal year:

------------------------------------------------------------------------
                                     Estimated annual
                                       net revenue       Cumulative net
            Fiscal year               available for    revenue available
                                        repayment        for repayment
------------------------------------------------------------------------
2020..............................           $200,000           $200,000
2021..............................          2,560,000          2,760,000
2022..............................          2,940,000          5,700,000
2023..............................          2,360,000          8,060,000
2024..............................          2,430,000         10,490,000
2025..............................          2,130,000         12,620,000
2026..............................          2,210,000         14,830,000
2027..............................          2,310,000         17,140,000
2028..............................          2,420,000         19,560,000
2029..............................          2,530,000         22,090,000
------------------------------------------------------------------------

    The rates include a true-up of the capacity and energy rates based 
on the variance of the actual cumulative net revenue available for 
repayment from the planned cumulative net revenue available for 
repayment in the table above. For every $100,000 under-recovery of the 
planned cumulative net revenue available for repayment, Southeastern 
will increase the base capacity charge by $0.02 per kilowatt per month, 
up to a maximum of $0.75 per kilowatt per month, and increase the base 
energy charge by 0.10 mills per kilowatt-hour, up to a maximum of 3.0 
mills per kilowatt per hour, to be implemented April 1 of the next 
fiscal year. For every $100,000 of over-recovery of the planned 
cumulative net revenue available for repayment, Southeastern will 
reduce the base capacity charge by $0.02 per kilowatt per month, up to 
a maximum of $0.75 per kilowatt per month, and reduce the base energy 
charge by 0.10 mills per kilowatt-hour, up to a maximum of 3.0 mills 
per kilowatt per hour, to be implemented April 1 of the next fiscal 
year. Southeastern will give written notice to the customers of the 
amount of the true-up to the capacity and energy rates by February 1 of 
the next fiscal year.
    Additional rates for transmission and ancillary services provided 
under this rate schedule shall be the rates charged Southeastern Power 
Administration by the Company or PJM. Future adjustments to these rates 
will become effective upon acceptance for filing by the Federal Energy 
Regulatory Commission (FERC) of the Company's rate.

Ancillary Services

    0.81 mills per kilowatt-hour of energy estimated as of February 
2020, is presented for illustrative purposes.
    The initial charge for transmission and Ancillary Services will be 
the Customer's ratable share of the charges for transmission, 
distribution, and ancillary services paid by the Government. The 
charges for transmission and ancillary services are governed by and 
subject to refund based upon the determination in proceedings before 
FERC involving the Company's or PJM's Open Access Transmission Tariff 
(OATT).
    Proceedings before FERC involving the OATT or the Distribution 
charge may result in the separation of charges currently included in 
the transmission rate. In this event, the Government may charge the 
Customer for any and all separate transmission, ancillary services, and 
distribution charges paid by the Government in behalf of the Customer. 
These charges could be recovered through a capacity charge or an energy 
charge, as determined by the Government.

Tandem Transmission Charge

    $1.34 per kilowatt of total contract demand per month, as an 
estimated cost as of February 2020.
    The tandem transmission charge will recover the cost of 
transmitting power from a project to the border of another transmitting 
system. This rate will be a formulary rate based on the cost to the 
Government for transmission of power from the Philpott project to the 
border of the Virginia Electric and Power

[[Page 52974]]

Company System and the cost to the Government for transmission of power 
from the John H. Kerr Project to the border of the Duke Energy Progress 
System. These charges could be recovered through a capacity charge or 
an energy charge, as determined by the Government.

Transmission and Ancillary Services

    The charges for transmission and ancillary services shall be 
governed by and subject to refund based upon the determination in the 
proceeding involving the Company's or PJM's OATT.

Capacity Performance Non-Performance Charge

    Requirements of the PJM capacity performance market may lead to 
non-performance charges to Southeastern. These non-performance charges, 
if incurred, will be allocated to the capacity delivered in PJM 
(currently 120,100 kilowatts) in the month incurred.

Contract Demand

    The contract demand is the amount of capacity in kilowatts stated 
in the contract which the Government is obligated to supply and the 
Customer is entitled to receive.

Energy To Be Furnished by the Government

    The Government will sell to the Customer and the Customer will 
purchase from the Government energy each billing month equivalent to a 
percentage specified by contract of the energy made available to the 
Company (less applicable losses). The Customer's contract demand and 
accompanying energy will be allocated proportionately to its individual 
delivery points served from the Company's system. The applicable energy 
loss factor for transmission is specified in the OATT.
    These losses shall be effective until modified by FERC, pursuant to 
application by the Company or PJM under Section 205 of the Federal 
Power Act or Southeastern Power Administration under Section 206 of the 
Federal Power Act or otherwise.

Billing Month

    The billing month for power sold under this schedule shall end at 
12:00 midnight on the last day of each calendar month.

Wholesale Power Rate Schedule DEP-1-D

Availability

    This rate schedule shall be available to public bodies and 
cooperatives (any one of whom is hereinafter called the Customer) in 
North Carolina and South Carolina to whom power may be transmitted and 
scheduled pursuant to contracts between the Government and Duke Energy 
Progress (formerly known as Carolina Power & Light Company and 
hereinafter called the Company) and the Customer. This rate schedule is 
applicable to customers receiving power from the Government on an 
arrangement where the Company schedules the power and provides the 
Customer a credit on their bill for Government power. Nothing in this 
rate schedule shall preclude modifications to the aforementioned 
contracts to allow an eligible customer to elect service under another 
rate schedule.

Applicability

    This rate schedule shall be applicable to the sale at wholesale of 
power and accompanying energy generated at the John H. Kerr and 
Philpott Projects and sold under appropriate contracts between the 
Government and the Customer.

Character of Service

    The electric capacity and energy supplied hereunder will be 
delivered at the delivery points of the Customer on the Company's 
transmission and distribution system.

Monthly Rate

    The initial base monthly rate for capacity, energy, and generation 
services provided under this rate schedule for the period specified 
shall be:
    Initial Base Capacity Charge:
    $4.40 per kilowatt of total contract demand per month.
    Initial Base Energy Charge:
    17.80 mills per kilowatt-hour.
    The rates are based on a repayment study that projects that the 
Kerr-Philpott System will produce the following net revenue available 
for repayment by fiscal year and cumulative net revenue available for 
repayment by fiscal year:

------------------------------------------------------------------------
                                     Estimated annual
                                       net revenue       Cumulative net
            Fiscal year               available for    revenue available
                                        repayment        for repayment
------------------------------------------------------------------------
2020..............................           $200,000           $200,000
2021..............................          2,560,000          2,760,000
2022..............................          2,940,000          5,700,000
2023..............................          2,360,000          8,060,000
2024..............................          2,430,000         10,490,000
2025..............................          2,130,000         12,620,000
2026..............................          2,210,000         14,830,000
2027..............................          2,310,000         17,140,000
2028..............................          2,420,000         19,560,000
2029..............................          2,530,000         22,090,000
------------------------------------------------------------------------

    The rates include a true-up of the capacity and energy rates based 
on the variance of the actual cumulative net revenue available for 
repayment from the planned cumulative net revenue available for 
repayment in the table above. For every $100,000 under-recovery of the 
planned cumulative net revenue available for repayment, Southeastern 
will increase the base capacity charge by $0.02 per kilowatt per month, 
up to a maximum of $0.75 per kilowatt per month, and increase the base 
energy charge by 0.10 mills per kilowatt-hour, up to a maximum of 3.0 
mills per kilowatt per hour, to be implemented April 1 of the next 
fiscal year. For every $100,000 of over-recovery of the planned 
cumulative net revenue available for repayment, Southeastern will 
reduce the base capacity charge by $0.02 per kilowatt per month, up to 
a maximum of $0.75 per kilowatt per month, and reduce the base energy 
charge by 0.10 mills per kilowatt-hour, up to a maximum of 3.0 mills 
per kilowatt per hour, to be implemented April 1 of the next fiscal 
year. Southeastern will give written notice to the customers of the 
amount of the true-up to the capacity and energy rates by February 1 of 
the next fiscal year.
    Additional rates for transmission and ancillary services provided 
under this rate schedule shall be the rates charged Southeastern Power 
Administration by the Company. Future adjustments to these rates will 
become effective upon acceptance for filing by the Federal Energy 
Regulatory Commission (FERC) of the Company's rate.

Transmission

    $1.5297 per kilowatt of total contract demand per month as of 
February 2020, is presented for illustrative purposes.
    The initial transmission charge will be the Customer's ratable 
share of the transmission and distribution charges paid by the 
Government. The rate is subject to periodic adjustment and will be 
computed in accordance with the terms of the Government-Company 
contract.
    Proceedings before FERC involving the Company's Open Access 
Transmission Tariff (OATT) or the distribution charge may result in the 
separation of charges currently included in the transmission rate. In 
this event, the Government may charge the Customer for any and all 
separate transmission and distribution charges paid by the Government 
in behalf of the Customer. These charges could be recovered through a 
capacity charge or an energy charge, as determined by the Government.

[[Page 52975]]

Tandem Transmission Charge

    $1.34 per kilowatt of total contract demand per month, as an 
estimated cost as of February 2020.
    The tandem transmission charge will recover the cost of 
transmitting power from a project to the border of another transmitting 
system. This rate will be a formulary rate based on the cost to the 
Government for transmission of power from the Philpott project to the 
border of the Virginia Electric and Power Company System and the cost 
to the Government for transmission of power from the John H. Kerr 
Project to the border of the Duke Energy Progress System. These charges 
could be recovered through a capacity charge or an energy charge, as 
determined by the Government.

Transmission and Ancillary Services

    The charges for transmission and ancillary services shall be 
governed by and subject to refund based upon the determination in the 
proceeding involving the Company's or PJM's OATT.

Contract Demand

    The contract demand is the amount of capacity in kilowatts stated 
in the contract which the Government is obligated to supply and the 
Customer is entitled to receive.

Energy To Be Furnished by the Government

    The Government will sell to the Customer and the Customer will 
purchase from the Government energy each billing month equivalent to a 
percentage specified by contract of the energy made available to the 
Company (less applicable losses). The Customer's contract demand and 
accompanying energy will be allocated proportionately to its individual 
delivery points served from the Company's system. The applicable energy 
loss factor for transmission, in accordance with the Government-Company 
contract, is six (6) per cent. This loss factor will be governed by the 
terms of the Government-Company contract.

Billing Month

    The billing month for power sold under this schedule shall end at 
12:00 midnight on the last day of each calendar month.

Wholesale Power Rate Schedule DEP-2-D

Availability

    This rate schedule shall be available to public bodies and 
cooperatives (any one of whom is hereinafter called the Customer) in 
North Carolina and South Carolina to whom power may be transmitted 
pursuant to contracts between the Government and Duke Energy Progress 
(formerly known as Carolina Power & Light Company and hereinafter 
called the Company) and the Customer. The Customer has chosen to self-
schedule and does not receive Government power under an arrangement 
where the Company schedules the power and provides a credit on the 
Customer's bill for Government power. The Customer is responsible for 
providing a scheduling arrangement with the Government. The Government 
is responsible for arranging transmission with the Company. Nothing in 
this rate schedule shall preclude modifications to the aforementioned 
contracts to allow an eligible customer to elect service under another 
rate schedule.

Applicability

    This rate schedule shall be applicable to the sale at wholesale of 
power and accompanying energy generated at the John H. Kerr and 
Philpott Projects and sold under appropriate contracts between the 
Government and the Customer.

Character of Service

    The electric capacity and energy supplied hereunder will be 
delivered at the delivery points of the Customer on the Company's 
transmission and distribution system.

Monthly Rate

    The initial base monthly rate for capacity, energy, and generation 
services provided under this rate schedule for the period specified 
shall be:
    Initial Base Capacity Charge:
    $4.40 per kilowatt of total contract demand per month.
    Initial Base Energy Charge:
    17.80 mills per kilowatt-hour.
    The rates are based on a repayment study that projects that the 
Kerr-Philpott System will produce the following net revenue available 
for repayment by fiscal year and cumulative net revenue available for 
repayment by fiscal year:

------------------------------------------------------------------------
                                     Estimated annual
                                       net revenue       Cumulative net
            Fiscal year               available for    revenue available
                                        repayment        for repayment
------------------------------------------------------------------------
2020..............................           $200,000           $200,000
2021..............................          2,560,000          2,760,000
2022..............................          2,940,000          5,700,000
2023..............................          2,360,000          8,060,000
2024..............................          2,430,000         10,490,000
2025..............................          2,130,000         12,620,000
2026..............................          2,210,000         14,830,000
2027..............................          2,310,000         17,140,000
2028..............................          2,420,000         19,560,000
2029..............................          2,530,000         22,090,000
------------------------------------------------------------------------

    The rates include a true-up of the capacity and energy rates based 
on the variance of the actual cumulative net revenue available for 
repayment from the planned cumulative net revenue available for 
repayment in the table above. For every $100,000 under-recovery of the 
planned cumulative net revenue available for repayment, Southeastern 
will increase the base capacity charge by $0.02 per kilowatt per month, 
up to a maximum of $0.75 per kilowatt per month, and increase the base 
energy charge by 0.10 mills per kilowatt-hour, up to a maximum of 3.0 
mills per kilowatt per hour, to be implemented April 1 of the next 
fiscal year. For every $100,000 of over-recovery of the planned 
cumulative net revenue available for repayment, Southeastern will 
reduce the base capacity charge by $0.02 per kilowatt per month, up to 
a maximum of $0.75 per kilowatt per month, and reduce the base energy 
charge by 0.10 mills per kilowatt-hour, up to a maximum of 3.0 mills 
per kilowatt per hour, to be implemented April 1 of the next fiscal 
year. Southeastern will give written notice to the customers of the 
amount of the true-up to the capacity and energy rates by February 1 of 
the next fiscal year.
    Additional rates for transmission and ancillary services provided 
under this rate schedule shall be the rates charged Southeastern Power 
Administration by the Company. Future adjustments to these rates will 
become effective upon acceptance for filing by the Federal Energy 
Regulatory Commission (FERC) of the Company's rate.

Transmission

    $1.5297 per kilowatt of total contract demand per month as of 
February 2020, is presented for illustrative purposes.
    The initial transmission charge will be the Customer's ratable 
share of the transmission and distribution charges paid by the 
Government. The rate is subject to periodic adjustment and will be 
computed in accordance with the terms of the Government-Company 
contract.
    Proceedings before FERC involving the Company's Open Access 
Transmission Tariff (OATT) or the distribution charge may result in the 
separation of charges currently included in the transmission rate. In 
this event, the Government may charge the Customer for any and all 
separate

[[Page 52976]]

transmission and distribution charges paid by the Government in behalf 
of the Customer. These charges could be recovered through a capacity 
charge or an energy charge, as determined by the Government.

Tandem Transmission Charge

    $1.34 per kilowatt of total contract demand per month, as an 
estimated cost as of February 2020.
    The tandem transmission charge will recover the cost of 
transmitting power from a project to the border of another transmitting 
system. This rate will be a formulary rate based on the cost to the 
Government for transmission of power from the Philpott project to the 
border of the Virginia Electric and Power Company System and the cost 
to the Government for transmission of power from the John H. Kerr 
Project to the border of the Duke Energy Progress System. These charges 
could be recovered through a capacity charge or an energy charge, as 
determined by the Government.

Transmission and Ancillary Services

    The charges for transmission and ancillary services shall be 
governed by and subject to refund based upon the determination in the 
proceeding involving the Company's or PJM's OATT.

Contract Demand

    The contract demand is the amount of capacity in kilowatts stated 
in the contract which the Government is obligated to supply and the 
Customer is entitled to receive.

Energy To Be Furnished by the Government

    The Government will sell to the Customer and the Customer will 
purchase from the Government energy each billing month equivalent to a 
percentage specified by contract of the energy made available to the 
Company (less applicable losses). The Customer's contract demand and 
accompanying energy will be allocated proportionately to its individual 
delivery points served from the Company's system. The applicable energy 
loss factor for transmission, in accordance with the Government-Company 
contract, is six (6) per cent. This loss factor will be governed by the 
terms of the Government-Company contract.

Billing Month

    The billing month for power sold under this schedule shall end at 
12:00 midnight on the last day of each calendar month.

Wholesale Power Rate Schedule DEP-3-D

Availability

    This rate schedule shall be available to public bodies and 
cooperatives (any one of whom is hereinafter called the Customer) in 
North Carolina and South Carolina to whom power may be scheduled 
pursuant to contracts between the Government and Duke Energy Progress 
(formerly known as Carolina Power & Light Company and hereinafter 
called the Company) and the Customer. The Government is responsible for 
providing the scheduling. The Customer is responsible for providing a 
transmission arrangement. Nothing in this rate schedule shall preclude 
modifications to the aforementioned contracts to allow an eligible 
customer to elect service under another rate schedule.

Applicability

    This rate schedule shall be applicable to the sale at wholesale of 
power and accompanying energy generated at the John H. Kerr and 
Philpott Projects (hereinafter called the Projects) and sold under 
appropriate contracts between the Government and the Customer.

Character of Service

    The electric capacity and energy supplied hereunder will be 
delivered at the Projects.

Monthly Rate

    The initial base monthly rate for capacity, energy, and generation 
services provided under this rate schedule for the period specified 
shall be:
    Initial Base Capacity Charge:
    $4.40 per kilowatt of total contract demand per month.
    Initial Base Energy Charge:
    17.80 mills per kilowatt-hour.
    The rates are based on a repayment study that projects that the 
Kerr-Philpott System will produce the following net revenue available 
for repayment by fiscal year and cumulative net revenue available for 
repayment by fiscal year:

------------------------------------------------------------------------
                                     Estimated annual
                                       net revenue       Cumulative net
            Fiscal year               available for    revenue available
                                        repayment        for repayment
------------------------------------------------------------------------
2020..............................           $200,000           $200,000
2021..............................          2,560,000          2,760,000
2022..............................          2,940,000          5,700,000
2023..............................          2,360,000          8,060,000
2024..............................          2,430,000         10,490,000
2025..............................          2,130,000         12,620,000
2026..............................          2,210,000         14,830,000
2027..............................          2,310,000         17,140,000
2028..............................          2,420,000         19,560,000
2029..............................          2,530,000         22,090,000
------------------------------------------------------------------------

    The rates include a true-up of the capacity and energy rates based 
on the variance of the actual cumulative net revenue available for 
repayment from the planned cumulative net revenue available for 
repayment in the table above. For every $100,000 under-recovery of the 
planned cumulative net revenue available for repayment, Southeastern 
will increase the base capacity charge by $0.02 per kilowatt per month, 
up to a maximum of $0.75 per kilowatt per month, and increase the base 
energy charge by 0.10 mills per kilowatt-hour, up to a maximum of 3.0 
mills per kilowatt per hour, to be implemented April 1 of the next 
fiscal year. For every $100,000 of over-recovery of the planned 
cumulative net revenue available for repayment, Southeastern will 
reduce the base capacity charge by $0.02 per kilowatt per month, up to 
a maximum of $0.75 per kilowatt per month, and reduce the base energy 
charge by 0.10 mills per kilowatt-hour, up to a maximum of 3.0 mills 
per kilowatt per hour, to be implemented April 1 of the next fiscal 
year. Southeastern will give written notice to the customers of the 
amount of the true-up to the capacity and energy rates by February 1 of 
the next fiscal year.
    Additional rates for transmission and ancillary services provided 
under this rate schedule shall be the rates charged Southeastern Power 
Administration by the Company. Future adjustments to these rates will 
become effective upon acceptance for filing by the Federal Energy 
Regulatory Commission (FERC) of the Company's rate.
    Proceedings before FERC involving the Company's Open Access 
Transmission Tariff (OATT) or the distribution charge may result in the 
separation of charges currently included in the transmission rate. In 
this event, the Government may charge the Customer for any and all 
separate transmission and distribution charges paid by the Government 
in behalf of the Customer.

Tandem Transmission Charge

    $1.34 per kilowatt of total contract demand per month, as an 
estimated cost as of February 2020.
    The tandem transmission charge will recover the cost of 
transmitting power from a project to the border of another transmitting 
system. This rate will be a formulary rate based on the cost to the 
Government for transmission of power from the Philpott project to the 
border of the Virginia Electric and Power Company System and the cost 
to the Government for transmission of power from the John H. Kerr 
Project to the

[[Page 52977]]

border of the Duke Energy Progress System. These charges could be 
recovered through a capacity charge or an energy charge, as determined 
by the Government.

Transmission and Ancillary Services

    The charges for transmission and ancillary services shall be 
governed by and subject to refund based upon the determination in the 
proceeding involving the Company's or PJM's OATT.

Contract Demand

    The contract demand is the amount of capacity in kilowatts stated 
in the contract which the Government is obligated to supply and the 
Customer is entitled to receive.

Energy To Be Furnished by the Government

    The Government will sell to the Customer and the Customer will 
purchase from the Government energy each billing month equivalent to a 
percentage specified by contract of the energy made available to the 
Company (less applicable losses). The Customer's contract demand and 
accompanying energy will be allocated proportionately to its individual 
delivery points served from the Company's system. The applicable energy 
loss factor for transmission, in accordance with the Government-Company 
contract, is six (6) percent. This loss factor will be governed by the 
terms of the Government-Company contract.

Billing Month

    The billing month for power sold under this schedule shall end at 
12:00 midnight on the last day of each calendar month.

Wholesale Power Rate Schedule DEP-4-D

Availability

    This rate schedule shall be available to public bodies and 
cooperatives (any one of whom is hereinafter called the Customer) in 
North Carolina and South Carolina served through the transmission 
facilities of Duke Energy Progress (formerly known as Carolina Power & 
Light Company and hereinafter called the Company). The Customer has 
chosen to self-schedule and does not receive Government power under an 
arrangement where the Company schedules the power and provides a credit 
on the Customer's bill for Government power. The Customer is 
responsible for providing a scheduling arrangement with the Government 
and for providing a transmission arrangement. Nothing in this rate 
schedule shall preclude modifications to the aforementioned contracts 
to allow an eligible customer to elect service under another rate 
schedule.

Applicability

    This rate schedule shall be applicable to the sale at wholesale of 
power and accompanying energy generated at the John H. Kerr and 
Philpott Projects (hereinafter called the Projects) and sold under 
appropriate contracts between the Government and the Customer.

Character of Service

    The electric capacity and energy supplied hereunder will be 
delivered at the Projects.

Monthly Rate

    The initial base monthly rate for capacity, energy, and generation 
services provided under this rate schedule for the period specified 
shall be:
    Initial Base Capacity Charge:
    $4.40 per kilowatt of total contract demand per month.
    Initial Base Energy Charge:
    17.80 mills per kilowatt-hour.
    The rates are based on a repayment study that projects that the 
Kerr-Philpott System will produce the following net revenue available 
for repayment by fiscal year and cumulative net revenue available for 
repayment by fiscal year:

------------------------------------------------------------------------
                                     Estimated annual
                                       net revenue       Cumulative net
            Fiscal year               available for    revenue available
                                        repayment        for repayment
------------------------------------------------------------------------
2020..............................           $200,000           $200,000
2021..............................          2,560,000          2,760,000
2022..............................          2,940,000          5,700,000
2023..............................          2,360,000          8,060,000
2024..............................          2,430,000         10,490,000
2025..............................          2,130,000         12,620,000
2026..............................          2,210,000         14,830,000
2027..............................          2,310,000         17,140,000
2028..............................          2,420,000         19,560,000
2029..............................          2,530,000         22,090,000
------------------------------------------------------------------------

    The rates include a true-up of the capacity and energy rates based 
on the variance of the actual cumulative net revenue available for 
repayment from the planned cumulative net revenue available for 
repayment in the table above. For every $100,000 under-recovery of the 
planned cumulative net revenue available for repayment, Southeastern 
will increase the base capacity charge by $0.02 per kilowatt per month, 
up to a maximum of $0.75 per kilowatt per month, and increase the base 
energy charge by 0.10 mills per kilowatt-hour, up to a maximum of 3.0 
mills per kilowatt per hour, to be implemented April 1 of the next 
fiscal year. For every $100,000 of over-recovery of the planned 
cumulative net revenue available for repayment, Southeastern will 
reduce the base capacity charge by $0.02 per kilowatt per month, up to 
a maximum of $0.75 per kilowatt per month, and reduce the base energy 
charge by 0.10 mills per kilowatt-hour, up to a maximum of 3.0 mills 
per kilowatt per hour, to be implemented April 1 of the next fiscal 
year. Southeastern will give written notice to the customers of the 
amount of the true-up to the capacity and energy rates by February 1 of 
the next fiscal year.
    Additional rates for transmission and ancillary services provided 
under this rate schedule shall be the rates charged Southeastern Power 
Administration by the Company. Future adjustments to these rates will 
become effective upon acceptance for filing by the Federal Energy 
Regulatory Commission (FERC) of the Company's rate.

Tandem Transmission Charge

    $1.34 per kilowatt of total contract demand per month, as an 
estimated cost as of February 2020.
    The tandem transmission charge will recover the cost of 
transmitting power from a project to the border of another transmitting 
system. This rate will be a formulary rate based on the cost to the 
Government for transmission of power from the Philpott project to the 
border of the Virginia Electric and Power Company System and the cost 
to the Government for transmission of power from the John H. Kerr 
Project to the border of the Duke Energy Progress System. These charges 
could be recovered through a capacity charge or an energy charge, as 
determined by the Government.

Transmission and Ancillary Services

    The charges for transmission and ancillary services shall be 
governed by and subject to refund based upon the determination in the 
proceeding involving the Company's or PJM's OATT.

Contract Demand

    The contract demand is the amount of capacity in kilowatts stated 
in the contract which the Government is obligated to supply and the 
Customer is entitled to receive.

Energy To Be Furnished by the Government

    The Government will sell to the Customer and the Customer will 
purchase from the Government energy each billing month equivalent to a 
percentage specified by contract of the energy made available to the 
Company (less applicable losses). The Customer's contract demand and 
accompanying

[[Page 52978]]

energy will be allocated proportionately to its individual delivery 
points served from the Company's system. The applicable energy loss 
factor for transmission, in accordance with the Government-Company 
contract, is six (6) per cent. This loss factor will be governed by the 
terms of the Government-Company contract.

Billing Month

    The billing month for power sold under this schedule shall end at 
12:00 midnight on the last day of each calendar month.

Wholesale Power Rate Schedule AP-1-D

Availability

    This rate schedule shall be available to public bodies and 
cooperatives (any one of whom is hereinafter called the Customer) in 
Virginia to whom power may be transmitted and scheduled pursuant to 
contracts between the Government, American Electric Power Service 
Corporation (hereinafter called the Company), the Company's 
Transmission Operator, currently PJM Interconnection LLC (hereinafter 
called PJM), and the Customer. This rate schedule is applicable to 
customers receiving power from the Government on an arrangement where 
the Company schedules the power and provides the Customer a credit on 
their bill for Government power. Nothing in this rate schedule shall 
preclude modifications to the aforementioned contracts to allow an 
eligible customer to elect service under another rate schedule.

Applicability

    This rate schedule shall be applicable to the sale at wholesale of 
power and accompanying energy generated at the John H. Kerr and 
Philpott Projects and sold under appropriate contracts between the 
Government and the Customer.

Character of Service

    The electric capacity and energy supplied hereunder will be 
delivered at the delivery points of the Customer on the Company's 
transmission and distribution system.

Monthly Rate

    The initial base monthly rate for capacity, energy, and generation 
services provided under this rate schedule for the period specified 
shall be:
    Initial Base Capacity Charge:
    $4.40 per kilowatt of total contract demand per month.
    Initial Base Energy Charge:
    17.80 mills per kilowatt-hour.
    The rates are based on a repayment study that projects that the 
Kerr-Philpott System will produce the following net revenue available 
for repayment by fiscal year and cumulative net revenue available for 
repayment by fiscal year:

------------------------------------------------------------------------
                                     Estimated annual
                                       net revenue       Cumulative net
            Fiscal year               available for    revenue available
                                        repayment        for repayment
------------------------------------------------------------------------
2020..............................           $200,000           $200,000
2021..............................          2,560,000          2,760,000
2022..............................          2,940,000          5,700,000
2023..............................          2,360,000          8,060,000
2024..............................          2,430,000         10,490,000
2025..............................          2,130,000         12,620,000
2026..............................          2,210,000         14,830,000
2027..............................          2,310,000         17,140,000
2028..............................          2,420,000         19,560,000
2029..............................          2,530,000         22,090,000
------------------------------------------------------------------------

    The rates include a true-up of the capacity and energy rates based 
on the variance of the actual cumulative net revenue available for 
repayment from the planned cumulative net revenue available for 
repayment in the table above. For every $100,000 under-recovery of the 
planned cumulative net revenue available for repayment, Southeastern 
will increase the base capacity charge by $0.02 per kilowatt per month, 
up to a maximum of $0.75 per kilowatt per month, and increase the base 
energy charge by 0.10 mills per kilowatt-hour, up to a maximum of 3.0 
mills per kilowatt per hour, to be implemented April 1 of the next 
fiscal year. For every $100,000 of over-recovery of the planned 
cumulative net revenue available for repayment, Southeastern will 
reduce the base capacity charge by $0.02 per kilowatt per month, up to 
a maximum of $0.75 per kilowatt per month, and reduce the base energy 
charge by 0.10 mills per kilowatt-hour, up to a maximum of 3.0 mills 
per kilowatt per hour, to be implemented April 1 of the next fiscal 
year. Southeastern will give written notice to the customers of the 
amount of the true-up to the capacity and energy rates by February 1 of 
the next fiscal year.
    Additional rates for transmission and ancillary services provided 
under this rate schedule shall be the rates charged Southeastern Power 
Administration by the Company. Future adjustments to these rates will 
become effective upon acceptance for filing by the Federal Energy 
Regulatory Commission (FERC) of the Company's rate.

Transmission

    $7.32 per kilowatt of total contract demand per month estimated as 
of February 2020, is presented for illustrative purposes.

Ancillary Services

    0.81 mills per kilowatt-hour of energy estimated as of February 
2020, is presented for illustrative purposes.
    The initial charge for transmission and Ancillary Services will be 
the Customer's ratable share of the charges for transmission, 
distribution, and ancillary services paid by the Government. The 
charges for transmission and ancillary services are governed by and 
subject to refund based upon the determination in proceedings before 
FERC involving the Company's or PJM's Open Access Transmission Tariff 
(OATT).
    Proceedings before FERC involving the OATT or the Distribution 
charge may result in the separation of charges currently included in 
the transmission rate. In this event, the Government may charge the 
Customer for any and all separate transmission, ancillary services, and 
distribution charges paid by the Government in behalf of the Customer. 
These charges could be recovered through a capacity charge or an energy 
charge, as determined by the Government.

Tandem Transmission Charge

    $1.34 per kilowatt of total contract demand per month, as an 
estimated cost as of February 2020.
    The tandem transmission charge will recover the cost of 
transmitting power from a project to the border of another transmitting 
system. This rate will be a formulary rate based on the cost to the 
Government for transmission of power from the Philpott project to the 
border of the Virginia Electric and Power Company System and the cost 
to the Government for transmission of power from the John H. Kerr 
Project to the border of the Duke Energy Progress System. These charges 
could be recovered through a capacity charge or an energy charge, as 
determined by the Government.

Transmission and Ancillary Services

    The charges for transmission and ancillary services shall be 
governed by and subject to refund based upon the determination in the 
proceeding involving the Company's or PJM's OATT.

Capacity Performance Non-Performance Charges

    Requirements of the PJM capacity performance market may lead to 
non-performance charges to Southeastern. These non-performance charges, 
if incurred, will be allocated to the capacity delivered in PJM 
(currently 120,100 kilowatts) in the month incurred.

[[Page 52979]]

Contract Demand

    The contract demand is the amount of capacity in kilowatts stated 
in the contract which the Government is obligated to supply and the 
Customer is entitled to receive.

Energy To Be Furnished by the Government

    The Government will sell to the Customer and the Customer will 
purchase from the Government energy each billing month equivalent to a 
percentage specified by contract of the energy made available to the 
Company (less applicable losses). The Customer's contract demand and 
accompanying energy will be allocated proportionately to its individual 
delivery points served from the Company's system. The applicable energy 
loss factor for transmission is specified in the OATT.
    These losses shall be effective until modified by the Federal 
Energy Regulatory Commission, pursuant to application by the Company or 
PJM under Section 205 of the Federal Power Act or Southeastern Power 
Administration under Section 206 of the Federal Power Act or otherwise.

Billing Month

    The billing month for power sold under this schedule shall end at 
12:00 midnight on the last day of each calendar month.

Wholesale Power Rate Schedule AP-2-D

Availability

    This rate schedule shall be available to public bodies and 
cooperatives (any one of whom is hereinafter called the Customer) in 
Virginia to whom power may be transmitted pursuant to contracts between 
the Government, American Electric Power Service Corporation 
(hereinafter called the Company), the Company's Transmission Operator, 
currently PJM Interconnection LLC (hereinafter called PJM), and the 
Customer. The Customer has chosen to self-schedule and does not receive 
Government power under an arrangement where the Company schedules the 
power and provides a credit on the Customer's bill for Government 
power. The Customer is responsible for providing a scheduling 
arrangement with the Government. The Government is responsible for 
arranging transmission with the Company. Nothing in this rate schedule 
shall preclude modifications to the aforementioned contracts to allow 
an eligible customer to elect service under another rate schedule.

Applicability

    This rate schedule shall be applicable to the sale at wholesale of 
power and accompanying energy generated at the John H. Kerr and 
Philpott Projects and sold under appropriate contracts between the 
Government and the Customer.

Character of Service

    The electric capacity and energy supplied hereunder will be 
delivered at the delivery points of the Customer on the Company's 
transmission and distribution system.

Monthly Rate

    The initial base monthly rate for capacity, energy, and generation 
services provided under this rate schedule for the period specified 
shall be:
    Initial Base Capacity Charge:
    $4.40 per kilowatt of total contract demand per month.
    Initial Base Energy Charge:
    17.80 mills per kilowatt-hour.
    The rates are based on a repayment study that projects that the 
Kerr-Philpott System will produce the following net revenue available 
for repayment by fiscal year and cumulative net revenue available for 
repayment by fiscal year:

------------------------------------------------------------------------
                                     Estimated annual
                                       net revenue       Cumulative net
            Fiscal year               available for    revenue available
                                        repayment        for repayment
------------------------------------------------------------------------
2020..............................           $200,000           $200,000
2021..............................          2,560,000          2,760,000
2022..............................          2,940,000          5,700,000
2023..............................          2,360,000          8,060,000
2024..............................          2,430,000         10,490,000
2025..............................          2,130,000         12,620,000
2026..............................          2,210,000         14,830,000
2027..............................          2,310,000         17,140,000
2028..............................          2,420,000         19,560,000
2029..............................          2,530,000         22,090,000
------------------------------------------------------------------------

    The rates include a true-up of the capacity and energy rates based 
on the variance of the actual cumulative net revenue available for 
repayment from the planned cumulative net revenue available for 
repayment in the table above. For every $100,000 under-recovery of the 
planned cumulative net revenue available for repayment, Southeastern 
will increase the base capacity charge by $0.02 per kilowatt per month, 
up to a maximum of $0.75 per kilowatt per month, and increase the base 
energy charge by 0.10 mills per kilowatt-hour, up to a maximum of 3.0 
mills per kilowatt per hour, to be implemented April 1 of the next 
fiscal year. For every $100,000 of over-recovery of the planned 
cumulative net revenue available for repayment, Southeastern will 
reduce the base capacity charge by $0.02 per kilowatt per month, up to 
a maximum of $0.75 per kilowatt per month, and reduce the base energy 
charge by 0.10 mills per kilowatt-hour, up to a maximum of 3.0 mills 
per kilowatt per hour, to be implemented April 1 of the next fiscal 
year. Southeastern will give written notice to the customers of the 
amount of the true-up to the capacity and energy rates by February 1 of 
the next fiscal year.
    Additional rates for transmission and ancillary services provided 
under this rate schedule shall be the rates charged Southeastern Power 
Administration by the Company. Future adjustments to these rates will 
become effective upon acceptance for filing by the Federal Energy 
Regulatory Commission (FERC) of the Company's rate.

Transmission

    $7.32 per kilowatt of total contract demand per month estimated as 
of February 2020, is presented for illustrative purposes.

Ancillary Services

    0.81 mills per kilowatt-hour of energy estimated as of February 
2020, is presented for illustrative purposes.
    The initial charge for transmission and Ancillary Services will be 
the Customer's ratable share of the charges for transmission, 
distribution, and ancillary services paid by the Government. The 
charges for transmission and ancillary services are governed by and 
subject to refund based upon the determination in proceedings before 
FERC involving the Company's or PJM's Open Access Transmission Tariff 
(OATT).
    Proceedings before FERC involving the OATT or the Distribution 
charge may result in the separation of charges currently included in 
the transmission rate. In this event, the Government may charge the 
Customer for any and all separate transmission, ancillary services, and 
distribution charges paid by the Government in behalf of the Customer. 
These charges could be recovered through a capacity charge or an energy 
charge, as determined by the Government.

Tandem Transmission Charge

    $1.34 per kilowatt of total contract demand per month, as an 
estimated cost as of February 2020.
    The tandem transmission charge will recover the cost of 
transmitting power from a project to the border of another transmitting 
system. This rate will be a formulary rate based on the cost to the 
Government for transmission of power from the Philpott project to the 
border

[[Page 52980]]

of the Virginia Electric and Power Company System and the cost to the 
Government for transmission of power from the John H. Kerr Project to 
the border of the Duke Energy Progress System. These charges could be 
recovered through a capacity charge or an energy charge, as determined 
by the Government.

Transmission and Ancillary Services

    The charges for transmission and ancillary services shall be 
governed by and subject to refund based upon the determination in the 
proceeding involving the Company's or PJM's OATT.

Capacity Performance Non-Performance Charges

    Requirements of the PJM capacity performance market may lead to 
non-performance charges to Southeastern. These non-performance charges, 
if incurred, will be allocated to the capacity delivered in PJM 
(currently 120,100 kilowatts) in the month incurred.

Contract Demand

    The contract demand is the amount of capacity in kilowatts stated 
in the contract which the Government is obligated to supply and the 
Customer is entitled to receive.

Energy To Be Furnished by the Government

    The Government will sell to the Customer and the Customer will 
purchase from the Government energy each billing month equivalent to a 
percentage specified by contract of the energy made available to the 
Company (less applicable losses). The Customer's contract demand and 
accompanying energy will be allocated proportionately to its individual 
delivery points served from the Company's system. The applicable energy 
loss factor for transmission is specified in the OATT.
    These losses shall be effective until modified by the Federal 
Energy Regulatory Commission, pursuant to application by American 
Electric Power Service Corporation under Section 205 of the Federal 
Power Act or Southeastern Power Administration under Section 206 of the 
Federal Power Act or otherwise.

Billing Month

    The billing month for power sold under this schedule shall end at 
12:00 midnight on the last day of each calendar month.

Wholesale Power Rate Schedule AP-3-D

Availability

    This rate schedule shall be available to public bodies and 
cooperatives (any one of whom is hereinafter called the Customer) in 
Virginia to whom power may be scheduled pursuant to contracts between 
the Government, American Electric Power Service Corporation 
(hereinafter called the Company), PJM Interconnection LLC (hereinafter 
called PJM), and the Customer. The Government is responsible for 
providing the scheduling. The Customer is responsible for providing a 
transmission arrangement. Nothing in this rate schedule shall preclude 
modifications to the aforementioned contracts to allow an eligible 
customer to elect service under another rate schedule.

Applicability

    This rate schedule shall be applicable to the sale at wholesale of 
power and accompanying energy generated at the John H. Kerr and 
Philpott Projects (hereinafter called the Projects) and sold under 
appropriate contracts between the Government and the Customer.

Character of Service

    The electric capacity and energy supplied hereunder will be 
delivered at the Projects.

Monthly Rate

    The initial base monthly rate for capacity, energy, and generation 
services provided under this rate schedule for the period specified 
shall be:
    Initial Base Capacity Charge:
    $4.40 per kilowatt of total contract demand per month.
    Initial Base Energy Charge:
    17.80 mills per kilowatt-hour.
    The rates are based on a repayment study that projects that the 
Kerr-Philpott System will produce the following net revenue available 
for repayment by fiscal year and cumulative net revenue available for 
repayment by fiscal year:

------------------------------------------------------------------------
                                     Estimated annual
                                       net revenue       Cumulative net
            Fiscal year               available for    revenue available
                                        repayment        for repayment
------------------------------------------------------------------------
2020..............................           $200,000           $200,000
2021..............................          2,560,000          2,760,000
2022..............................          2,940,000          5,700,000
2023..............................          2,360,000          8,060,000
2024..............................          2,430,000         10,490,000
2025..............................          2,130,000         12,620,000
2026..............................          2,210,000         14,830,000
2027..............................          2,310,000         17,140,000
2028..............................          2,420,000         19,560,000
2029..............................          2,530,000         22,090,000
------------------------------------------------------------------------

    The rates include a true-up of the capacity and energy rates based 
on the variance of the actual cumulative net revenue available for 
repayment from the planned cumulative net revenue available for 
repayment in the table above. For every $100,000 under-recovery of the 
planned cumulative net revenue available for repayment, Southeastern 
will increase the base capacity charge by $0.02 per kilowatt per month, 
up to a maximum of $0.75 per kilowatt per month, and increase the base 
energy charge by 0.10 mills per kilowatt-hour, up to a maximum of 3.0 
mills per kilowatt per hour, to be implemented April 1 of the next 
fiscal year. For every $100,000 of over-recovery of the planned 
cumulative net revenue available for repayment, Southeastern will 
reduce the base capacity charge by $0.02 per kilowatt per month, up to 
a maximum of $0.75 per kilowatt per month, and reduce the base energy 
charge by 0.10 mills per kilowatt-hour, up to a maximum of 3.0 mills 
per kilowatt per hour, to be implemented April 1 of the next fiscal 
year. Southeastern will give written notice to the customers of the 
amount of the true-up to the capacity and energy rates by February 1 of 
the next fiscal year.
    Additional rates for transmission and ancillary services provided 
under this rate schedule shall be the rates charged Southeastern Power 
Administration by the Company. Future adjustments to these rates will 
become effective upon acceptance for filing by the Federal Energy 
Regulatory Commission (FERC) of the Company's rate.

Ancillary Services

    0.81 mills per kilowatt-hour of energy estimated as of February 
2020, is presented for illustrative purposes.
    The initial charge for transmission and Ancillary Services will be 
the Customer's ratable share of the charges for transmission, 
distribution, and ancillary services paid by the Government. The 
charges for transmission and ancillary services are governed by and 
subject to refund based upon the determination in proceedings before 
FERC involving the Company's or PJM's Open Access Transmission Tariff 
(OATT).
    Proceedings before FERC involving the OATT or the Distribution 
charge may result in the separation of charges currently included in 
the transmission rate. In this event, the Government may charge the 
Customer for any and all separate transmission, ancillary services, and 
distribution charges paid by the Government in behalf of the Customer. 
These charges could be

[[Page 52981]]

recovered through a capacity charge or an energy charge, as determined 
by the Government.

Tandem Transmission Charge

    $1.34 per kilowatt of total contract demand per month, as an 
estimated cost as of February 2020.
    The tandem transmission charge will recover the cost of 
transmitting power from a project to the border of another transmitting 
system. This rate will be a formulary rate based on the cost to the 
Government for transmission of power from the Philpott project to the 
border of the Virginia Electric and Power Company System and the cost 
to the Government for transmission of power from the John H. Kerr 
Project to the border of the Duke Energy Progress System. These charges 
could be recovered through a capacity charge or an energy charge, as 
determined by the Government.

Transmission and Ancillary Services

    The charges for transmission and ancillary services shall be 
governed by and subject to refund based upon the determination in the 
proceeding involving the Company's or PJM's OATT.

Capacity Performance Non-Performance Charges

    Requirements of the PJM capacity performance market may lead to 
non-performance charges to Southeastern. These non-performance charges, 
if incurred, will be allocated to the capacity delivered in PJM 
(currently 120,100 kilowatts) in the month incurred.

Contract Demand

    The contract demand is the amount of capacity in kilowatts stated 
in the contract which the Government is obligated to supply and the 
Customer is entitled to receive.

Energy To Be Furnished by the Government

    The Government will sell to the Customer and the Customer will 
purchase from the Government energy each billing month equivalent to a 
percentage specified by contract of the energy made available to the 
Company (less applicable losses). The Customer's contract demand and 
accompanying energy will be allocated proportionately to its individual 
delivery points served from the Company's system. The applicable energy 
loss factor for transmission is specified in the OATT.
    These losses shall be effective until modified by FERC, pursuant to 
application by the Company or PJM under Section 205 of the Federal 
Power Act or Southeastern Power Administration under Section 206 of the 
Federal Power Act or otherwise.

Billing Month

    The billing month for power sold under this schedule shall end at 
12:00 midnight on the last day of each calendar month.

Wholesale Power Rate Schedule AP-4-D

Availability

    This rate schedule shall be available to public bodies and 
cooperatives (any one of whom is hereinafter called the Customer) in 
Virginia served through the facilities of American Electric Power 
Service Corporation (hereinafter called the Company) and PJM 
Interconnection LLC (hereinafter called PJM). The Customer has chosen 
to self-schedule and does not receive Government power under an 
arrangement where the Company schedules the power and provides a credit 
on the Customer's bill for Government power. The Customer is 
responsible for providing a scheduling arrangement with the Government 
and for providing a transmission arrangement. Nothing in this rate 
schedule shall preclude modifications to the aforementioned contracts 
to allow an eligible customer to elect service under another rate 
schedule.

Applicability

    This rate schedule shall be applicable to the sale at wholesale of 
power and accompanying energy generated at the John H. Kerr and 
Philpott Projects (hereinafter called the Projects) and sold under 
appropriate contracts between the Government and the Customer.

Character of Service

    The electric capacity and energy supplied hereunder will be 
delivered at the Projects.

Monthly Rate

    The initial base monthly rate for capacity, energy, and generation 
services provided under this rate schedule for the period specified 
shall be:
    Initial Base Capacity Charge:
    $4.40 per kilowatt of total contract demand per month.
    Initial Base Energy Charge:
    17.80 mills per kilowatt-hour.
    The rates are based on a repayment study that projects that the 
Kerr-Philpott System will produce the following net revenue available 
for repayment by fiscal year and cumulative net revenue available for 
repayment by fiscal year:

------------------------------------------------------------------------
                                     Estimated annual
                                       net revenue       Cumulative net
            Fiscal year               available for    revenue available
                                        repayment        for repayment
------------------------------------------------------------------------
2020..............................           $200,000           $200,000
2021..............................          2,560,000          2,760,000
2022..............................          2,940,000          5,700,000
2023..............................          2,360,000          8,060,000
2024..............................          2,430,000         10,490,000
2025..............................          2,130,000         12,620,000
2026..............................          2,210,000         14,830,000
2027..............................          2,310,000         17,140,000
2028..............................          2,420,000         19,560,000
2029..............................          2,530,000         22,090,000
------------------------------------------------------------------------

    The rates include a true-up of the capacity and energy rates based 
on the variance of the actual cumulative net revenue available for 
repayment from the planned cumulative net revenue available for 
repayment in the table above. For every $100,000 under-recovery of the 
planned cumulative net revenue available for repayment, Southeastern 
will increase the base capacity charge by $0.02 per kilowatt per month, 
up to a maximum of $0.75 per kilowatt per month, and increase the base 
energy charge by 0.10 mills per kilowatt-hour, up to a maximum of 3.0 
mills per kilowatt per hour, to be implemented April 1 of the next 
fiscal year. For every $100,000 of over-recovery of the planned 
cumulative net revenue available for repayment, Southeastern will 
reduce the base capacity charge by $0.02 per kilowatt per month, up to 
a maximum of $0.75 per kilowatt per month, and reduce the base energy 
charge by 0.10 mills per kilowatt-hour, up to a maximum of 3.0 mills 
per kilowatt per hour, to be implemented April 1 of the next fiscal 
year. Southeastern will give written notice to the customers of the 
amount of the true-up to the capacity and energy rates by February 1 of 
the next fiscal year.
    Additional rates for Transmission and Ancillary Services provided 
under this rate schedule shall be the rates charged Southeastern Power 
Administration by the Company. Future adjustments to these rates will 
become effective upon acceptance for filing by the Federal Energy 
Regulatory Commission (FERC) of the Company's rate.

Ancillary Services

    0.81 mills per kilowatt-hour of energy estimated as of February 
2020, is presented for illustrative purposes.
    The initial charge for transmission and Ancillary Services will be 
the Customer's ratable share of the charges for transmission, 
distribution, and ancillary services paid by the Government. The 
charges for transmission and ancillary services are governed by and 
subject to refund based

[[Page 52982]]

upon the determination in proceedings before FERC involving the 
Company's or PJM's Open Access Transmission Tariff (OATT).
    Proceedings before FERC involving the OATT or the Distribution 
charge may result in the separation of charges currently included in 
the transmission rate. In this event, the Government may charge the 
Customer for any and all separate transmission, ancillary services, and 
distribution charges paid by the Government in behalf of the Customer. 
These charges could be recovered through a capacity charge or an energy 
charge, as determined by the Government.

Tandem Transmission Charge

    $1.34 per kilowatt of total contract demand per month, as an 
estimated cost as of February 2020.
    The tandem transmission charge will recover the cost of 
transmitting power from a project to the border of another transmitting 
system. This rate will be a formulary rate based on the cost to the 
Government for transmission of power from the Philpott project to the 
border of the Virginia Electric and Power Company System and the cost 
to the Government for transmission of power from the John H. Kerr 
Project to the border of the Duke Energy Progress System. These charges 
could be recovered through a capacity charge or an energy charge, as 
determined by the Government.

Transmission and Ancillary Services

    The charges for transmission and ancillary services shall be 
governed by and subject to refund based upon the determination in the 
proceeding involving the Company's or PJM's OATT.

Capacity Performance Non-Performance Charges

    Requirements of the PJM capacity performance market may lead to 
non-performance charges to Southeastern. These non-performance charges, 
if incurred, will be allocated to the capacity delivered in PJM 
(currently 120,100 kilowatts) in the month incurred.

Contract Demand

    The contract demand is the amount of capacity in kilowatts stated 
in the contract which the Government is obligated to supply and the 
Customer is entitled to receive.

Energy To Be Furnished by the Government

    The Government will sell to the Customer and the Customer will 
purchase from the Government energy each billing month equivalent to a 
percentage specified by contract of the energy made available to the 
Company (less applicable losses). The Customer's contract demand and 
accompanying energy will be allocated proportionately to its individual 
delivery points served from the Company's system. The applicable energy 
loss factor for transmission is specified in the OATT.
    These losses shall be effective until modified by the Federal 
Energy Regulatory Commission, pursuant to application by the Company or 
PJM under Section 205 of the Federal Power Act or Southeastern Power 
Administration under Section 206 of the Federal Power Act or otherwise.

Billing Month

    The billing month for power sold under this schedule shall end at 
12:00 midnight on the last day of each calendar month.

Wholesale Power Rate Schedule NC-1-D

Availability

    This rate schedule shall be available to public bodies and 
cooperatives (any one of whom is hereinafter called the Customer) in 
Virginia and North Carolina to whom power may be transmitted pursuant 
to a contract between the Government and Virginia Electric and Power 
Company (hereinafter called the Virginia Power) and PJM Interconnection 
LLC (hereinafter called PJM), scheduled pursuant to a contract between 
the Government and Duke Energy Progress (formerly known as Carolina 
Power & Light and hereinafter called DEP), and billed pursuant to 
contracts between the Government and the Customer. Nothing in this rate 
schedule shall preclude modifications to the aforementioned contracts 
to allow an eligible customer to elect service under another rate 
schedule.

Applicability

    This rate schedule shall be applicable to the sale at wholesale of 
power and accompanying energy generated at the John H. Kerr and 
Philpott Projects and sold under appropriate contracts between the 
Government and the Customer.

Character of Service

    The electric capacity and energy supplied hereunder will be 
delivered at the delivery points of the Customer on the Virginia 
Power's transmission and distribution system.

Monthly Rate

    The initial base monthly rate for capacity, energy, and generation 
services provided under this rate schedule for the period specified 
shall be:
    Initial Base Capacity Charge:
    $4.40 per kilowatt of total contract demand per month.
    Initial Base Energy Charge:
    17.80 mills per kilowatt-hour.
    The rates are based on a repayment study that projects that the 
Kerr-Philpott System will produce the following net revenue available 
for repayment by fiscal year and cumulative net revenue available for 
repayment by fiscal year:

------------------------------------------------------------------------
                                     Estimated annual
                                       net revenue       Cumulative net
            Fiscal year               available for    revenue available
                                        repayment        for repayment
------------------------------------------------------------------------
2020..............................           $200,000           $200,000
2021..............................          2,560,000          2,760,000
2022..............................          2,940,000          5,700,000
2023..............................          2,360,000          8,060,000
2024..............................          2,430,000         10,490,000
2025..............................          2,130,000         12,620,000
2026..............................          2,210,000         14,830,000
2027..............................          2,310,000         17,140,000
2028..............................          2,420,000         19,560,000
2029..............................          2,530,000         22,090,000
------------------------------------------------------------------------

    The rates include a true-up of the capacity and energy rates based 
on the variance of the actual cumulative net revenue available for 
repayment from the planned cumulative net revenue available for 
repayment in the table above. For every $100,000 under-recovery of the 
planned cumulative net revenue available for repayment, Southeastern 
will increase the base capacity charge by $0.02 per kilowatt per month, 
up to a maximum of $0.75 per kilowatt per month, and increase the base 
energy charge by 0.10 mills per kilowatt-hour, up to a maximum of 3.0 
mills per kilowatt per hour, to be implemented April 1 of the next 
fiscal year. For every $100,000 of over-recovery of the planned 
cumulative net revenue available for repayment, Southeastern will 
reduce the base capacity charge by $0.02 per kilowatt per month, up to 
a maximum of $0.75 per kilowatt per month, and reduce the base energy 
charge by 0.10 mills per kilowatt-hour, up to a maximum of 3.0 mills 
per kilowatt per hour, to be implemented April 1 of the next fiscal 
year. Southeastern will give written notice to the customers of the 
amount of the true-up to the capacity and energy rates by February 1 of 
the next fiscal year.
    Additional rates for transmission and ancillary services provided 
under this rate schedule shall be the rates charged Southeastern Power 
Administration by

[[Page 52983]]

the Virginia Power and DEP. Future adjustments to these rates will 
become effective upon acceptance for filing by the Federal Energy 
Regulatory Commission (FERC) of Virginia Power's or DEP's rate.

Transmission

    $7.32 per kilowatt of total contract demand per month estimated as 
of February 2020, is presented for illustrative purposes.

Ancillary Services

    0.81 mills per kilowatt-hour of energy estimated as of February 
2020, is presented for illustrative purposes.
    The initial charge for transmission and Ancillary Services will be 
the Customer's ratable share of the charges for transmission, 
distribution, and ancillary services paid by the Government. The 
charges for transmission and ancillary services are governed by and 
subject to refund based upon the determination in proceedings before 
FERC involving the Company's or PJM's Open Access Transmission Tariff 
(OATT).
    Proceedings before FERC involving the OATT or the Distribution 
charge may result in the separation of charges currently included in 
the transmission rate. In this event, the Government may charge the 
Customer for any and all separate transmission, ancillary services, and 
distribution charges paid by the Government in behalf of the Customer. 
These charges could be recovered through a capacity charge or an energy 
charge, as determined by the Government.

Tandem Transmission Charge

    $1.34 per kilowatt of total contract demand per month, as an 
estimated cost as of February 2020.
    The tandem transmission charge will recover the cost of 
transmitting power from a project to the border of another transmitting 
system. This rate will be a formulary rate based on the cost to the 
Government for transmission of power from the Philpott project to the 
border of the Virginia Electric and Power Company System and the cost 
to the Government for transmission of power from the John H. Kerr 
Project to the border of the Duke Energy Progress System. These charges 
could be recovered through a capacity charge or an energy charge, as 
determined by the Government.

Transmission and Ancillary Services

    The charges for transmission and ancillary services shall be 
governed by and subject to refund based upon the determination in the 
proceeding involving the Virginia Power or PJM's OATT.

Transmission, System Control, Reactive, and Regulation Services

    The charges for transmission and ancillary services shall be 
governed by and subject to refund based upon the determination in the 
proceeding involving Virginia Power's, DEP's, or PJM's OATT.

Contract Demand

    The contract demand is the amount of capacity in kilowatts stated 
in the contract which the Government is obligated to supply and the 
Customer is entitled to receive.

Energy To Be Furnished by the Government

    The Government will sell to the Customer and the Customer will 
purchase from the Government energy each billing month equivalent to a 
percentage specified by contract of the energy made available to 
Virginia Power (less applicable losses). The Customer's contract demand 
and accompanying energy will be allocated proportionately to its 
individual delivery points served from the Virginia Power's system. The 
applicable energy loss factor for transmission is specified in the 
OATT.
    These losses shall be effective until modified by FERC, pursuant to 
application by the Company or PJM under Section 205 of the Federal 
Power Act or Southeastern Power Administration under Section 206 of the 
Federal Power Act or otherwise.

Billing Month

    The billing month for power sold under this schedule shall end at 
12:00 midnight on the last day of each calendar month.

Wholesale Power Rate Schedule Replacement-2-B

Availability

    This rate schedule shall be available to public bodies and 
cooperatives (any one of whom is hereinafter called the Customer) in 
North Carolina and Virginia to whom power is provided pursuant to 
contracts between the Government and the customer from the John H. Kerr 
and Philpott Projects (or Kerr-Philpott System).

Applicability

    This rate schedule shall be applicable to the sale of wholesale 
energy purchased to meet contract minimum energy and sold under 
appropriate contracts between the Government and the Customer.

Character of Service

    The energy supplied hereunder will be delivered at the delivery 
points provided for under appropriate contracts between the Government 
and the Customer.

Monthly Charge

    The customer will pay its ratable share of Southeastern's monthly 
cost for replacement energy. The ratable share will be the cost 
allocation factor for the customer listed in the table below times 
Southeastern's monthly cost for replacement energy purchased for the 
Kerr-Philpott System, rounded to the nearest $0.01.

 
----------------------------------------------------------------------------------------------------------------
                                                               Capacity                         Cost  allocation
  Contract  Number 89-00-1501-            Customer            allocation     Average  energy    factor (percent)
----------------------------------------------------------------------------------------------------------------
1230............................  Albemarle EMC...........           2,593          6,978,071          1.5868510
1221............................  B-A-R-C EC..............           3,740         10,099,971          2.2967870
853.............................  Brunswick EMC...........           3,515         10,069,899          2.2899490
854.............................  Carteret-Craven EMC.....           2,679          7,674,895          1.7453120
869.............................  Carteret-Craven EMC.....              56             42,281          0.0096150
855.............................  Central EMC.............           1,239          3,549,532          0.8071830
1220............................  Central Virginia EC.....           7,956         21,618,671          4.9162010
1203............................  City of Bedford.........           1,200            906,166          0.2060670
1204............................  City of Danville........           5,600          4,228,775          0.9616460
895.............................  City of Elizabeth City..           2,073          1,565,205          0.3559360

[[Page 52984]]

 
1215............................  City of Franklin........           1,003            754,359          0.1715450
878.............................  City of Kinston.........           1,466          1,106,893          0.2517130
880.............................  City of Laurinburg......             415            313,343          0.0712560
881.............................  City of Lumberton.......             895            675,764          0.1536720
1205............................  City of Martinsville....           1,600          1,208,222          0.2747560
882.............................  City of New Bern........           1,204            909,072          0.2067280
1206............................  City of Radford.........           1,300            981,575          0.2232150
885.............................  City of Rocky Mount.....           2,538          1,916,300          0.4357770
1208............................  City of Salem...........           2,200          1,661,127          0.3777490
892.............................  City of Washington......           2,703          2,040,882          0.4641070
889.............................  City of Wilson..........           2,950          2,227,377          0.5065170
1222............................  Community EC............           4,230         11,439,200          2.6013350
1211............................  Craig-Botetourt EC......           1,692          4,593,320          1.0445460
1231............................  Edgecombe-Martin County            4,155         11,327,753          2.5759920
                                   EMC.
875.............................  Fayetteville Public                5,431          4,100,640          0.9325070
                                   Works Commission.
856.............................  Four County EMC.........           4,198         12,026,581          2.7349090
891.............................  Greenville Utilities               7,534          5,688,496          1.2935940
                                   Commission.
857.............................  Halifax EMC.............             585          1,675,929          0.3811150
1232............................  Halifax EMC.............           2,021          5,499,876          1.2507010
1216............................  Harrisonburg Electric              2,691          2,050,360          0.4662630
                                   Commission.
858.............................  Jones-Onslow EMC........           5,184         14,851,310          3.3772670
859.............................  Lumbee River EMC........           3,729         10,682,974          2.4293650
1223............................  Mecklenburg EMC.........          11,344         30,927,112          7.0329910
1224............................  Northern Neck EC........           3,944         10,613,786          2.4136320
1225............................  Northern Virginia EC....           3,268          8,910,499          2.0262950
860.............................  Pee Dee EMC.............           2,968          8,502,833          1.9335900
861.............................  Piedmont EMC............           1,086          3,111,400          0.7075490
862.............................  Pitt & Greene EMC.......           1,580          4,526,441          1.0293370
1226............................  Prince George EC........           2,530          6,808,541          1.5482990
863.............................  Randolph EMC............           3,608         10,336,328          2.3505360
1227............................  Rappahannock EC.........          22,427         60,687,959         13.8007690
1233............................  Roanoke EMC.............           5,528         14,963,086          3.4026860
1228............................  Shenandoah Valley EMC...           9,938         27,049,304          6.1511560
864.............................  South River EMC.........           6,119         17,529,931          3.9864000
1229............................  Southside EC............          14,575         39,223,111          8.9195450
865.............................  Tideland EMC............             680          1,948,088          0.4430060
1234............................  Tideland EMC............           2,418          6,579,856          1.4962940
870.............................  Town of Apex............             145            109,482          0.0248970
871.............................  Town of Ayden...........             208            157,049          0.0357140
893.............................  Town of Belhaven........             182            137,418          0.0312500
872.............................  Town of Benson..........             120             90,605          0.0206040
1212............................  Town of Blackstone......             389            292,568          0.0665320
873.............................  Town of Clayton.........             161            121,562          0.0276440
1213............................  Town of Culpepper.......             391            297,916          0.0677480
894.............................  Town of Edenton.........             775            585,159          0.1330680
1214............................  Town of Elkton..........             171            128,609          0.0292460
1218............................  Town of Enfield.........             259            194,810          0.0443010
874.............................  Town of Farmville.......             237            178,946          0.0406930
876.............................  Town of Fremont.........              60             45,303          0.0103020
896.............................  Town of Hamilton........              40             30,202          0.0068680
897.............................  Town of Hertford........             203            153,274          0.0348550
898.............................  Town of Hobgood.........              46             34,732          0.0078980
877.............................  Town of Hookerton.......              30             22,651          0.0051510
879.............................  Town of La Grange.......              93             70,219          0.0159680
868.............................  Town of Louisburg.......             857          2,455,632          0.5584240
883.............................  Town of Pikeville.......              40             30,202          0.0068680
884.............................  Town of Red Springs.....             117             88,340          0.0200890
1207............................  Town of Richlands.......             500            377,569          0.0858610
899.............................  Town of Robersonville...             232            175,170          0.0398350
900.............................  Town of Scotland Neck...             304            229,533          0.0521970
886.............................  Town of Selma...........             183            138,173          0.0314210
887.............................  Town of Smithfield......             378            285,407          0.0649030
901.............................  Town of Tarboro.........           2,145          1,619,568          0.3682980
888.............................  Town of Wake Forest.....             149            112,501          0.0255830
1217............................  Town of Wakefield.......             106             79,723          0.0181290
1219............................  Town of Windsor.........             331            248,946          0.0566120
866.............................  Tri-County EMC..........           3,096          8,869,532          2.0169790
867.............................  Wake EMC................           2,164          6,199,505          1.4098010
                                                           -----------------------------------------------------

[[Page 52985]]

 
    Total.......................  ........................         196,500        439,743,400        100.0000000
----------------------------------------------------------------------------------------------------------------

Energy To Be Furnished by the Government

    The Government will sell to the Customer and the Customer will 
purchase from the Government energy each billing month equivalent to a 
percentage specified by contract of the energy made available to the 
Facilitator (less any losses required by the Facilitator). The 
customer's contract demand and accompanying energy will be allocated 
proportionately to its individual delivery points served from the 
Facilitator's system.

Billing Month

    The billing month for power sold under this schedule shall end at 
12:00 midnight on the last day of each calendar month.

[FR Doc. 2020-18821 Filed 8-26-20; 8:45 am]
BILLING CODE 6450-01-P