Revision to Power Marketing Policy Kerr-Philpott System of Projects, 66324-66327 [2020-23113]
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Federal Register / Vol. 85, No. 202 / Monday, October 19, 2020 / Notices
DEPARTMENT OF ENERGY
Federal Energy Regulatory
Commission
[Project No. 3023–000]
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Blackstone Hydro, Inc.; Notice of
Authorization for Continued Project
Operation
On October 1, 2018, Blackstone
Hydro, Inc, licensee for the Blackstone
Hydroelectric Project, filed an
Application for a New License pursuant
to the Federal Power Act (FPA) and the
Commission’s regulations thereunder.
The Blackstone Hydroelectric Project is
located on the Blackstone River in
Providence County, Rhode Island and
Worcester County, Massachusetts. There
are no federal or tribal lands within the
project boundary.
The license for Project No. 3023 was
issued for a period ending September
30, 2020. Section 15(a)(1) of the FPA, 16
U.S.C. 808(a)(1), requires the
Commission, at the expiration of a
license term, to issue from year-to-year
an annual license to the then licensee
under the terms and conditions of the
prior license until a new license is
issued, or the project is otherwise
disposed of as provided in section 15 or
any other applicable section of the FPA.
If the project’s prior license waived the
applicability of section 15 of the FPA,
then, based on section 9(b) of the
Administrative Procedure Act, 5 U.S.C.
558(c), and as set forth at 18 CFR
16.21(a), if the licensee of such project
has filed an application for a subsequent
license, the licensee may continue to
operate the project in accordance with
the terms and conditions of the license
after the minor or minor part license
expires, until the Commission acts on
its application. If the licensee of such a
project has not filed an application for
a subsequent license, then it may be
required, pursuant to 18 CFR 16.21(b),
to continue project operations until the
Commission issues someone else a
license for the project or otherwise
orders disposition of the project.
If the project is subject to section 15
of the FPA, notice is hereby given that
an annual license for Project No. 3023
is issued to Blackstone Hydro, Inc. for
a period effective October 1, 2020
through September 30, 2021, or until the
issuance of a new license for the project
or other disposition under the FPA,
whichever comes first. If issuance of a
new license (or other disposition) does
not take place on or before September
30, 2021, notice is hereby given that,
pursuant to 18 CFR 16.18(c), an annual
license under section 15(a)(1) of the
FPA is renewed automatically without
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further order or notice by the
Commission, unless the Commission
orders otherwise.
If the project is not subject to section
15 of the FPA, notice is hereby given
that Blackstone Hydro, Inc. is
authorized to continue operation of the
Blackstone Hydroelectric Project, until
such time as the Commission acts on its
application for a subsequent license.
Dated: October 13, 2020.
Kimberly D. Bose,
Secretary.
[FR Doc. 2020–23072 Filed 10–16–20; 8:45 am]
BILLING CODE 6717–01–P
DEPARTMENT OF ENERGY
Federal Energy Regulatory
Commission
[Docket No. ER21–44–000]
Altavista Solar, LLC; Supplemental
Notice That Initial Market-Based Rate
Filing Includes Request for Blanket
Section 204 Authorization
This is a supplemental notice in the
above-referenced Altavista Solar, LLC’s
application for market-based rate
authority, with an accompanying rate
tariff, noting that such application
includes a request for blanket
authorization, under 18 CFR part 34, of
future issuances of securities and
assumptions of liability.
Any person desiring to intervene or to
protest should file with the Federal
Energy Regulatory Commission, 888
First Street NE, Washington, DC 20426,
in accordance with Rules 211 and 214
of the Commission’s Rules of Practice
and Procedure (18 CFR 385.211 and
385.214). Anyone filing a motion to
intervene or protest must serve a copy
of that document on the Applicant.
Notice is hereby given that the
deadline for filing protests with regard
to the applicant’s request for blanket
authorization, under 18 CFR part 34, of
future issuances of securities and
assumptions of liability, is November 2,
2020.
The Commission encourages
electronic submission of protests and
interventions in lieu of paper, using the
FERC Online links at https://
www.ferc.gov. To facilitate electronic
service, persons with internet access
who will eFile a document and/or be
listed as a contact for an intervenor
must create and validate an
eRegistration account using the
eRegistration link. Select the eFiling
link to log on and submit the
intervention or protests.
Persons unable to file electronically
may mail similar pleadings to the
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Federal Energy Regulatory Commission,
888 First Street NE, Washington, DC
20426. Hand delivered submissions in
docketed proceedings should be
delivered to Health and Human
Services, 12225 Wilkins Avenue,
Rockville, Maryland 20852.
In addition to publishing the full text
of this document in the Federal
Register, the Commission provides all
interested persons an opportunity to
view and/or print the contents of this
document via the internet through the
Commission’s Home Page (https://
ferc.gov) using the ‘‘eLibrary’’ link.
Enter the docket number excluding the
last three digits in the docket number
field to access the document. At this
time, the Commission has suspended
access to the Commission’s Public
Reference Room, due to the
proclamation declaring a National
Emergency concerning the Novel
Coronavirus Disease (COVID–19), issued
by the President on March 13, 2020. For
assistance, contact the Federal Energy
Regulatory Commission at
FERCOnlineSupport@ferc.gov or call
toll-free, (886) 208–3676 or TYY, (202)
502–8659.
Dated: October 13, 2020.
Nathaniel J. Davis, Sr.,
Deputy Secretary.
[FR Doc. 2020–23054 Filed 10–16–20; 8:45 am]
BILLING CODE 6717–01–P
DEPARTMENT OF ENERGY
Southeastern Power Administration
Revision to Power Marketing Policy
Kerr-Philpott System of Projects
Southeastern Power
Administration, DOE.
ACTION: Notice of revision to power
marketing policy.
AGENCY:
Southeastern Power
Administration (Southeastern or SEPA)
announces revision to the power
marketing policy for the Kerr-Philpott
System of Projects (Kerr-Philpott
System). The Kerr-Philpott System
power marketing policy was published
on July 29, 1985, and is reflected in
contracts for the sale of system power,
which are maintained in Southeastern’s
headquarters office. Pursuant to the
Procedure for Public Participation in the
Formulation of Marketing Policy,
published in the Federal Register of
July 6, 1978, Southeastern published on
November 15, 2019, a notice of intent to
revise the power marketing policy to
include provisions regarding renewable
energy certificates (RECs) from the KerrPhilpott System. The proposed revision
SUMMARY:
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Federal Register / Vol. 85, No. 202 / Monday, October 19, 2020 / Notices
to the Kerr-Philpott System Power
Marketing Policy was published in the
Federal Register on June 19, 2020. A
virtual web based public information
and comment forum was held on
August 18, 2020, with written
comments due on or before September
2, 2020.
DATES: The power marketing policy
revision will become effective upon
publication of this notice in the Federal
Register.
FOR FURTHER INFORMATION CONTACT:
Douglas Spencer, Engineer,
Southeastern Power Administration,
1166 Athens Tech Road, Elberton, GA
30635, (706) 213–3855, Email:
douglas.spencer@sepa.doe.gov.
SUPPLEMENTARY INFORMATION:
Background: Southeastern published
a ‘‘Notice of Issuance of Final Power
Marketing Policy Kerr-Philpott System
of Projects’’ in the Federal Register on
July 29, 1985, 50 FR 30751. The policy
establishes the marketing area for
system power and addresses the
utilization of area utility systems for
essential purposes. The policy also
addresses wholesale rates, resale rates,
and conservation measures, but does not
address renewable energy certificates.
Under Section 5 of the Flood Control
Act of 1944 (16 U.S.C. 825s),
Southeastern is responsible for the
transmission and disposition of electric
power and energy from reservoir
projects operated by the U. S. Army
Corps of Engineers. Furthermore,
Southeastern must transmit and dispose
of power and energy in such a manner
as to encourage the most widespread
use at the lowest possible rates to
consumers consistent with sound
business principles. Rate schedules are
developed with regard to the recovery of
the cost of producing and transmitting
such electric energy.
The Kerr-Philpott System consists of
two projects, the John H. Kerr Project
(Kerr) and the Philpott Project
(Philpott). The power from the projects
is currently marketed to Preference
Customers located in the service areas of
Dominion Energy, Duke Energy
Progress, American Municipal Power,
and American Electric Power.
Both the Kerr and Philpott Projects
are located within the regional footprint
served by the regional transmission
organization PJM Interconnection,
L.L.C. (PJM), as are the Virginia-based
Preference Customers with power
allocations. Southeastern owns no
transmission assets and relies on PJM
transmission resources to dispose of
power and energy from the projects. As
such, Southeastern joined PJM in 2005.
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As the projects are located within the
PJM region and potentially satisfy
Renewable Portfolio Standards in a
number of states, Southeastern has
subscribed to the Generation Attribute
Tracking System (GATS) of PJM
Environmental Information Services,
Inc. The GATS provides an unbundled,
certificates-based tracking system that
reports certain operating attributes of
electricity generators selling energy
through the PJM Market Settlement
System. The attributes are unbundled
from the megawatt-hour of energy
produced and recorded onto a
certificate. As indicated in Section (2) of
the GATS TERMS OF USE, dated
January 22, 2020, these certificates may
be used by electricity suppliers and
other energy market participants to
comply with relevant state policies and
regulatory programs and to support
voluntary ‘‘green’’ electricity markets.
Under the following revision of the
1985 power marketing policy,
Southeastern will distribute the GATScreated certificates to current Preference
Customers with allocations of power
from the Kerr-Philpott System.
Public Notice and Comment
Southeastern published a proposed
revision in the Federal Register, 85 FR
37092, dated June 19, 2020.
Southeastern held a web-based
information and comment forum, on
August 18, 2020. The forum was held
virtually due to travel restrictions
related to the COVID–19 pandemic.
Southeastern received comments from
Blue Ridge Power Agency, Tennessee
Valley Public Power Association, and
Southeastern Federal Power Customers,
Inc.
Public Comments
Written and oral comments are
summarized below. Southeastern’s
responses follow each comment.
Comment 1: Tennessee Valley Public
Power Association requested ‘‘that prior
to SEPA setting any policies, procedures
or administrative controls regarding the
ownership or use of Renewable Energy
Credits associated with additional hydro
generation as a result of Section 212
funding, that SEPA consult with and
incorporate comments from the
Preference Customers that authorized
the Section 212 funding.’’
Response 1: TVPPA has referenced
‘‘Section 212 funding’’. ‘‘Section 212
funding’’ refers to section 212 of the
Water Resources Development Act of
2000, Public Law 106–541, which
amended section 216 of the Water
Resources Development Act of 1996
(codified at 33 U.S.C. 2321a). The
provision allows the Secretary of the
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Army to accept and use funds for use in
hydroelectric power project uprating
provided by preference customers
through contracts related to the
marketing of power. Therefore, funds
provided by certain preference
customers may increase energy at the
John H. Kerr and Philpott projects.
Southeastern has considered comments
of customers participating in the Section
212 customer funding program. Any
increase in energy due to the Section
212 program will be distributed in
accordance with this published revision
of the Kerr-Philpott power marketing
policy.
Comment 2: Blue Ridge Power
Agency members expressed
appreciation they will have the choice
on how to use the RECs to provide
benefits for their customers. They
support Southeastern’s proposed policy
to distribute RECs based on existing
power allocations, and to separate out
energy from each generator. They
indicate enabling customers to take
RECs from each project is the fairest
way to proceed, and allowing each
customer to designate whether the RECs
are transferred to a third party or
directly to the customer is important.
They encourage Southeastern to work
aggressively on state REC registrations
for each generator.
Response 2: Southeastern
acknowledges Blue Ridge Power Agency
members’ comments regarding
distribution of RECs in the Kerr-Philpott
System. Southeastern continues to
pursue state REC registrations for both
the Kerr and Philpott projects.
Comment 3: Southeastern Federal
Power Customers, Inc. (SeFPC),
expressed general support for the
revision and addressed three areas of
concern which include: (1) The revision
for the Kerr-Philpott System should be
clear that it will not establish
controlling precedent on policies for the
allocations for RECs that SEPA may
adopt in the future for other marketing
areas; (2) The revision should include
language from the response to
comments to the notice of intent to
revise the power marketing policy that
stated that the revision will not change
the Administrator’s prior
determinations regarding power
allocation within the marketing area;
and (3) That SEPA should further clarify
‘‘SEPA reserves the right to distribute
RECs that have been declined at a later
date.’’
Response 3: Southeastern
acknowledges SeFPC’s comments
regarding distribution of RECs to KerrPhilpott Preference Customers.
Southeastern added language to the
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Federal Register / Vol. 85, No. 202 / Monday, October 19, 2020 / Notices
Power Marketing Policy Revision to
address SeFPC’s concerns.
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Summary of Changes to the Power
Marketing Policy Revision
Southeastern made further changes to
the Power Marketing Policy Revision as
a result of comments received during
the comment period and public forum.
Southeastern added language stating the
revision will only apply to the KerrPhilpott marketing area and
Southeastern may revise other
marketing policies through a public
process at a later date. Southeastern
added language to state the revision will
not change the Administrator’s prior
decisions regarding the power
allocations within the Kerr-Philpott
marketing area. Southeastern clarified
distributions may occur outside of the
quarterly distributions when preference
entities have failed to submit proper
distribution information or when RECs
collected prior to the implementation of
the policy are distributed. Southeastern
amended the language regarding the
initial quarterly transfer to allow for the
transfer to occur in 2020.
Revision to the Power Marketing Policy
Southeastern revises the Power
Marketing Policy for the Kerr-Philpott
System to include the following
additional provisions for RECs
associated with hydroelectric
generation.
Kerr-Philpott System: The KerrPhilpott System Power Marketing Policy
inclusion of procedures to distribute
RECs applies only to the Kerr-Philpott
marketing area. At a later date,
Southeastern may revise other
marketing policies through a public
process.
Renewable Energy Certificates (RECs):
The GATS of PJM Environmental
Information Services, Inc. (PJM–EIS)
creates and tracks certificates reporting
generation attributes, by generating unit,
for each megawatt-hour (MWh) of
energy produced by registered
generators. PJM–EIS is a wholly-owned
subsidiary of PJM Connext, L.L.C., itself
a subsidiary of PJM. Both the Kerr and
Philpott projects are registered
generators within GATS. The RECs
potentially satisfy Renewable Portfolio
Standards, state policies, and other
regulatory or voluntary clean energy
standards in a number of states.
Southeastern will proceed with state
REC registrations of both the Kerr and
Philpott projects. Southeastern has
subscribed to GATS and has an account
in which RECs are collected and tracked
for each MWh of energy produced from
the Kerr and Philpott projects. Within
GATS, certificates can be transferred to
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other GATS subscribers or to a thirdparty tracking system.
As defined by the PJM–GATS Terms,
‘‘Certificates’’ refers to a GATS
electronic record of generation data
representing all of the Attributes from
one MWh of electricity generation from
a Generating Unit registered with the
GATS tracking system. The GATS will
create exactly one Certificate per MWh
of generation. These certificates may be
used by electricity suppliers and other
energy market participants to comply
with relevant state policies and
regulatory programs and to support
voluntary ‘‘green’’ electricity markets.
Southeastern will distribute the
GATS-created RECs to Preference
Customers with allocations of power
from the Kerr-Philpott System. The
Kerr-Philpott System procedures for
distributing renewable energy
certificates will not change the
Administrator’s prior decisions
regarding the power allocations within
the Kerr-Philpott marketing area.
RECs Distribution: Southeastern shall
maintain an account with GATS and
collect RECs from the generation at the
Kerr and Philpott projects. Southeastern
will verify the total amount of RECs
each month. Preference Customers with
an allocation of power from the KerrPhilpott System are eligible to receive
RECs by transfer from Southeastern’s
GATS account to their GATS account or
that of their agent. GATS (or a successor
application) will be the transfer
mechanism for all RECs related to the
Kerr-Philpott System. Any further
transfer, sale, use, or trade transaction
would be the sole responsibility of a
Preference Customer. Southeastern will
summarize RECs by month for calendar
year, quarterly distribution to customers
through GATS. Southeastern will
determine a total number of RECs to
transfer to each customer based on the
customer’s monthly invoices during the
same three-month period. RECs will be
project-specific based on the customer’s
applicable contractual arrangements.
Thus, customers receiving energy from
Philpott will receive equivalent RECs
from Philpott, and customers receiving
energy from Kerr will receive equivalent
RECs from Kerr.
All RECs distributed by Southeastern
shall be transferred within thirty days of
the end of the calendar year quarter
(quarterly distribution month). Each
customer should submit to
Southeastern, by the tenth day of a
quarterly distribution month, the name,
contact information, and identification
number of the GATS account to which
the RECs are to be transferred initially
and for any quarterly distribution month
in which the account for transfer
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changes. The account may be held by a
third party. If the customer fails to
designate an account by the tenth day of
the quarterly distribution month, those
RECs may not be distributed until the
following quarter. Any RECs that were
not transferred because a transfer
account was not provided to
Southeastern may be forfeited if they
become non-transferrable in the GATS
Terms of Use procedures, policies, or
definitions of Reporting and Trading
Periods, or any subsequent procedures
for transfers as established.
The initial quarterly transfer process
in GATS will be accomplished by the
thirtieth day after the publication of the
final policy revision. Any balance of
RECs that exist in Southeastern’s GATS
account after the first quarterly transfer
may also be transferred to Preference
Customers according to the customer’s
invoiced energy at the time of the REC
creation. Southeastern reserves the right
to distribute RECs to a Preference
Customer at a later date for RECs
declined by failure to provide a GATS
account for distribution and for RECs
currently existing in Southeastern’s
GATS account as part of the initial
implementation of the revised
marketing policy in a manner consistent
with the distribution method in the
policy revision.
Effect of Costs on Rates: No rates shall
be established by Southeastern for RECs
transferred to Preference Customers.
Any cost to Southeastern, such as the
GATS subscription, will be incorporated
into marketing costs and included in
recovery through the energy and
capacity rates of the Kerr-Philpott
System.
Environmental Impact: Southeastern
has reviewed the possible
environmental impacts of the marketing
policy revision under consideration and
has concluded that, because the RECs
policy 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 the Federal Register notice
by the Office of Management and
Budget is required.
Signing Authority
This document of the Department of
Energy was signed on October 8, 2020,
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Federal Register / Vol. 85, No. 202 / Monday, October 19, 2020 / Notices
by Virgil G. Hobbs III, Administrator,
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 October 14,
2020.
Treena V. Garrett,
Federal Register Liaison Officer, U.S.
Department of Energy.
[FR Doc. 2020–23113 Filed 10–16–20; 8:45 am]
BILLING CODE 6450–01–P
ENVIRONMENTAL PROTECTION
AGENCY
[EPA–HQ–ORD–2013–0620 and EPA–HQ–
OAR–2014–0128; FRL–10015–76–76–ORD]
Final Integrated Science Assessment
for Oxides of Nitrogen, Oxides of
Sulfur, and Particulate Matter—
Ecological Criteria
Environmental Protection
Agency (EPA).
ACTION: Notice of availability.
AGENCY:
The Environmental Protection
Agency (EPA) is announcing the
availability of a final document titled,
‘‘Final Integrated Science Assessment
for Oxides of Nitrogen, Oxides of Sulfur,
and Particulate Matter—Ecological
Criteria’’ (EPA/600/R–20/278). The
document was prepared by the Center
for Public Health and Environmental
Assessment (CPHEA) within EPA’s
Office of Research and Development
(ORD) as part of the review of the
secondary (welfare-based) national
ambient air quality standards (NAAQS)
for oxides of nitrogen, oxides of sulfur,
and particulate matter. This ISA
represents an update of the 2008
Integrated Science Assessment for
Oxides of Nitrogen and Sulfur—
Ecological Criteria (EPA/600/R–08/
082F) and the 2009 Integrated Science
Assessment for Particulate Matter (EPA/
600/AR–08/139F). The ISA, in
conjunction with additional technical
and policy assessments, provides the
basis for EPA’s decisions on the
adequacy of the current NAAQS and the
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SUMMARY:
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appropriateness of possible alternative
standards.
DATES: The document will be available
on or about October 16, 2020.
ADDRESSES: The ‘‘Final Integrated
Science Assessment for Oxides of
Nitrogen, Oxides of Sulfur, and
Particulate Matter—Ecological Criteria’’
will be available primarily via the
internet on EPA’s Integrated Science
Assessment for Oxides of Nitrogen,
Oxides of Sulfur, and Particulate Matter
page at https://www.epa.gov/isa/
integrated-science-assessment-isaoxides-nitrogen-oxides-sulfur-andparticulate-matter or the public docket
at https://www.regulations.gov, Docket
ID: [EPA–HQ–ORD–2013–0620 and
EPA–HQ–OAR–2014–0128]. A limited
number of CD–ROM copies will be
available. Contact Ms. Marieka Boyd by
phone: 919–541–0031; or email:
boyd.marieka@epa.gov to request a CD–
ROM, and please provide your name,
your mailing address, and the document
title, ‘‘Final Integrated Science
Assessment for Oxides of Nitrogen,
Oxides of Sulfur, and Particulate
Matter—Ecological Criteria’’ to facilitate
processing of your request.
FOR FURTHER INFORMATION CONTACT: For
technical information, contact Tara
Greaver; phone: 919–541–2435; or
email: Greaver.Tara@epa.gov.
SUPPLEMENTARY INFORMATION:
I. Information About the Document
Section 108(a) of the Clean Air Act
directs the Administrator to identify
certain air pollutants, emissions of
which, among other things, ‘‘cause or
contribute to air pollution which may
reasonably be anticipated to endanger
public health or welfare’’; and to issue
air quality criteria for them. The air
quality criteria are to ‘‘accurately reflect
the latest scientific knowledge useful in
indicating the kind and extent of all
identifiable effects on public health or
welfare which may be expected from the
presence of [a] pollutant in the ambient
air. . .’’. Under section 109 of the Act,
EPA is then to establish NAAQS for
each pollutant for which EPA has issued
criteria. Section 109(d)(1) of the Act
subsequently requires periodic review
and, if appropriate, revision of existing
air quality criteria to reflect advances in
scientific knowledge on the effects of
the pollutant on public health or
welfare. EPA is also required to review
and, if appropriate, revise the NAAQS,
based on the revised air quality criteria
(for more information on the NAAQS
review process, see https://
www.epa.gov/naaqs).
EPA has established NAAQS for six
criteria pollutants. Presently the EPA is
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66327
reviewing the secondary air quality
criteria and NAAQS for oxides of
nitrogen, oxides of sulfur, and
particulate matter. Periodically, EPA
reviews the scientific basis for these
standards by preparing an Integrated
Science Assessment (ISA) (formerly
called an Air Quality Criteria
Document). The ISA provides the
scientific basis for EPA’s decisions, in
conjunction with additional technical
and policy assessments, on the
adequacy of the current NAAQS and the
appropriateness of possible alternative
standards. The Clean Air Scientific
Advisory Committee (CASAC), an
independent science advisory
committee whose review and advisory
functions are mandated by Section
109(d)(2) of the Clean Air Act, is
charged (among other things) with
independent scientific review of the
EPA’s air quality criteria.
On August 21, 2013 (78 FR 53452),
EPA formally initiated its current
review of the air quality criteria for the
ecological effects of oxides of nitrogen
and oxides of sulfur, and the associated
secondary (welfare-based) NAAQS,
requesting the submission of recent
scientific information on specified
topics. Similarly, on December 3, 2014
(79 FR 71764), EPA formally initiated its
current review of the air quality criteria
for the particulate matter NAAQS. EPA
conducted two workshops—the first on
March 4–6, 2014, for oxides of nitrogen
and oxides of sulfur (79 FR 8644,
February 13, 2014), and the second on
February 11, 2015 (79 FR 71764,
December 3, 2014), for particulate
matter—to gather input from invited
scientific experts, both internal and
external to EPA, as well as from the
public, regarding key science and policy
issues relevant to the review of the these
secondary NAAQS. Teleconference
workshops with invited scientific
experts, both internal and external to
EPA, were held on August 25–27, 2015
(80 FR 48316, August 12, 2015), and
June 13, 2016 (81 FR 89262, May 11,
2016), to discuss initial draft materials
prepared in the development of the draft
ISA.
These science and policy issues were
incorporated into EPA’s ‘‘Draft
Integrated Review Plan for the
Secondary National Ambient Air
Quality Standard for Oxides of Nitrogen
and Oxides of Sulfur’’ as well as the
‘‘Integrated Review Plan for the National
Ambient Air Quality Standards for
Particulate Matter.’’ The Draft Integrated
Review Plan (IRP) for oxides of nitrogen
and oxides of sulfur was available for
public comment (80 FR 69220, Monday,
November 9, 2015) and discussion by
the CASAC via publicly accessible
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Agencies
[Federal Register Volume 85, Number 202 (Monday, October 19, 2020)]
[Notices]
[Pages 66324-66327]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2020-23113]
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DEPARTMENT OF ENERGY
Southeastern Power Administration
Revision to Power Marketing Policy Kerr-Philpott System of
Projects
AGENCY: Southeastern Power Administration, DOE.
ACTION: Notice of revision to power marketing policy.
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SUMMARY: Southeastern Power Administration (Southeastern or SEPA)
announces revision to the power marketing policy for the Kerr-Philpott
System of Projects (Kerr-Philpott System). The Kerr-Philpott System
power marketing policy was published on July 29, 1985, and is reflected
in contracts for the sale of system power, which are maintained in
Southeastern's headquarters office. Pursuant to the Procedure for
Public Participation in the Formulation of Marketing Policy, published
in the Federal Register of July 6, 1978, Southeastern published on
November 15, 2019, a notice of intent to revise the power marketing
policy to include provisions regarding renewable energy certificates
(RECs) from the Kerr-Philpott System. The proposed revision
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to the Kerr-Philpott System Power Marketing Policy was published in the
Federal Register on June 19, 2020. A virtual web based public
information and comment forum was held on August 18, 2020, with written
comments due on or before September 2, 2020.
DATES: The power marketing policy revision will become effective upon
publication of this notice in the Federal Register.
FOR FURTHER INFORMATION CONTACT: Douglas Spencer, Engineer,
Southeastern Power Administration, 1166 Athens Tech Road, Elberton, GA
30635, (706) 213-3855, Email: [email protected].
SUPPLEMENTARY INFORMATION:
Background: Southeastern published a ``Notice of Issuance of Final
Power Marketing Policy Kerr-Philpott System of Projects'' in the
Federal Register on July 29, 1985, 50 FR 30751. The policy establishes
the marketing area for system power and addresses the utilization of
area utility systems for essential purposes. The policy also addresses
wholesale rates, resale rates, and conservation measures, but does not
address renewable energy certificates.
Under Section 5 of the Flood Control Act of 1944 (16 U.S.C. 825s),
Southeastern is responsible for the transmission and disposition of
electric power and energy from reservoir projects operated by the U. S.
Army Corps of Engineers. Furthermore, Southeastern must transmit and
dispose of power and energy in such a manner as to encourage the most
widespread use at the lowest possible rates to consumers consistent
with sound business principles. Rate schedules are developed with
regard to the recovery of the cost of producing and transmitting such
electric energy.
The Kerr-Philpott System consists of two projects, the John H. Kerr
Project (Kerr) and the Philpott Project (Philpott). The power from the
projects is currently marketed to Preference Customers located in the
service areas of Dominion Energy, Duke Energy Progress, American
Municipal Power, and American Electric Power.
Both the Kerr and Philpott Projects are located within the regional
footprint served by the regional transmission organization PJM
Interconnection, L.L.C. (PJM), as are the Virginia-based Preference
Customers with power allocations. Southeastern owns no transmission
assets and relies on PJM transmission resources to dispose of power and
energy from the projects. As such, Southeastern joined PJM in 2005.
As the projects are located within the PJM region and potentially
satisfy Renewable Portfolio Standards in a number of states,
Southeastern has subscribed to the Generation Attribute Tracking System
(GATS) of PJM Environmental Information Services, Inc. The GATS
provides an unbundled, certificates-based tracking system that reports
certain operating attributes of electricity generators selling energy
through the PJM Market Settlement System. The attributes are unbundled
from the megawatt-hour of energy produced and recorded onto a
certificate. As indicated in Section (2) of the GATS TERMS OF USE,
dated January 22, 2020, these certificates may be used by electricity
suppliers and other energy market participants to comply with relevant
state policies and regulatory programs and to support voluntary
``green'' electricity markets.
Under the following revision of the 1985 power marketing policy,
Southeastern will distribute the GATS-created certificates to current
Preference Customers with allocations of power from the Kerr-Philpott
System.
Public Notice and Comment
Southeastern published a proposed revision in the Federal Register,
85 FR 37092, dated June 19, 2020. Southeastern held a web-based
information and comment forum, on August 18, 2020. The forum was held
virtually due to travel restrictions related to the COVID-19 pandemic.
Southeastern received comments from Blue Ridge Power Agency, Tennessee
Valley Public Power Association, and Southeastern Federal Power
Customers, Inc.
Public Comments
Written and oral comments are summarized below. Southeastern's
responses follow each comment.
Comment 1: Tennessee Valley Public Power Association requested
``that prior to SEPA setting any policies, procedures or administrative
controls regarding the ownership or use of Renewable Energy Credits
associated with additional hydro generation as a result of Section 212
funding, that SEPA consult with and incorporate comments from the
Preference Customers that authorized the Section 212 funding.''
Response 1: TVPPA has referenced ``Section 212 funding''. ``Section
212 funding'' refers to section 212 of the Water Resources Development
Act of 2000, Public Law 106-541, which amended section 216 of the Water
Resources Development Act of 1996 (codified at 33 U.S.C. 2321a). The
provision allows the Secretary of the Army to accept and use funds for
use in hydroelectric power project uprating provided by preference
customers through contracts related to the marketing of power.
Therefore, funds provided by certain preference customers may increase
energy at the John H. Kerr and Philpott projects. Southeastern has
considered comments of customers participating in the Section 212
customer funding program. Any increase in energy due to the Section 212
program will be distributed in accordance with this published revision
of the Kerr-Philpott power marketing policy.
Comment 2: Blue Ridge Power Agency members expressed appreciation
they will have the choice on how to use the RECs to provide benefits
for their customers. They support Southeastern's proposed policy to
distribute RECs based on existing power allocations, and to separate
out energy from each generator. They indicate enabling customers to
take RECs from each project is the fairest way to proceed, and allowing
each customer to designate whether the RECs are transferred to a third
party or directly to the customer is important. They encourage
Southeastern to work aggressively on state REC registrations for each
generator.
Response 2: Southeastern acknowledges Blue Ridge Power Agency
members' comments regarding distribution of RECs in the Kerr-Philpott
System. Southeastern continues to pursue state REC registrations for
both the Kerr and Philpott projects.
Comment 3: Southeastern Federal Power Customers, Inc. (SeFPC),
expressed general support for the revision and addressed three areas of
concern which include: (1) The revision for the Kerr-Philpott System
should be clear that it will not establish controlling precedent on
policies for the allocations for RECs that SEPA may adopt in the future
for other marketing areas; (2) The revision should include language
from the response to comments to the notice of intent to revise the
power marketing policy that stated that the revision will not change
the Administrator's prior determinations regarding power allocation
within the marketing area; and (3) That SEPA should further clarify
``SEPA reserves the right to distribute RECs that have been declined at
a later date.''
Response 3: Southeastern acknowledges SeFPC's comments regarding
distribution of RECs to Kerr-Philpott Preference Customers.
Southeastern added language to the
[[Page 66326]]
Power Marketing Policy Revision to address SeFPC's concerns.
Summary of Changes to the Power Marketing Policy Revision
Southeastern made further changes to the Power Marketing Policy
Revision as a result of comments received during the comment period and
public forum. Southeastern added language stating the revision will
only apply to the Kerr-Philpott marketing area and Southeastern may
revise other marketing policies through a public process at a later
date. Southeastern added language to state the revision will not change
the Administrator's prior decisions regarding the power allocations
within the Kerr-Philpott marketing area. Southeastern clarified
distributions may occur outside of the quarterly distributions when
preference entities have failed to submit proper distribution
information or when RECs collected prior to the implementation of the
policy are distributed. Southeastern amended the language regarding the
initial quarterly transfer to allow for the transfer to occur in 2020.
Revision to the Power Marketing Policy
Southeastern revises the Power Marketing Policy for the Kerr-
Philpott System to include the following additional provisions for RECs
associated with hydroelectric generation.
Kerr-Philpott System: The Kerr-Philpott System Power Marketing
Policy inclusion of procedures to distribute RECs applies only to the
Kerr-Philpott marketing area. At a later date, Southeastern may revise
other marketing policies through a public process.
Renewable Energy Certificates (RECs): The GATS of PJM Environmental
Information Services, Inc. (PJM-EIS) creates and tracks certificates
reporting generation attributes, by generating unit, for each megawatt-
hour (MWh) of energy produced by registered generators. PJM-EIS is a
wholly-owned subsidiary of PJM Connext, L.L.C., itself a subsidiary of
PJM. Both the Kerr and Philpott projects are registered generators
within GATS. The RECs potentially satisfy Renewable Portfolio
Standards, state policies, and other regulatory or voluntary clean
energy standards in a number of states. Southeastern will proceed with
state REC registrations of both the Kerr and Philpott projects.
Southeastern has subscribed to GATS and has an account in which RECs
are collected and tracked for each MWh of energy produced from the Kerr
and Philpott projects. Within GATS, certificates can be transferred to
other GATS subscribers or to a third-party tracking system.
As defined by the PJM-GATS Terms, ``Certificates'' refers to a GATS
electronic record of generation data representing all of the Attributes
from one MWh of electricity generation from a Generating Unit
registered with the GATS tracking system. The GATS will create exactly
one Certificate per MWh of generation. These certificates may be used
by electricity suppliers and other energy market participants to comply
with relevant state policies and regulatory programs and to support
voluntary ``green'' electricity markets.
Southeastern will distribute the GATS-created RECs to Preference
Customers with allocations of power from the Kerr-Philpott System. The
Kerr-Philpott System procedures for distributing renewable energy
certificates will not change the Administrator's prior decisions
regarding the power allocations within the Kerr-Philpott marketing
area.
RECs Distribution: Southeastern shall maintain an account with GATS
and collect RECs from the generation at the Kerr and Philpott projects.
Southeastern will verify the total amount of RECs each month.
Preference Customers with an allocation of power from the Kerr-Philpott
System are eligible to receive RECs by transfer from Southeastern's
GATS account to their GATS account or that of their agent. GATS (or a
successor application) will be the transfer mechanism for all RECs
related to the Kerr-Philpott System. Any further transfer, sale, use,
or trade transaction would be the sole responsibility of a Preference
Customer. Southeastern will summarize RECs by month for calendar year,
quarterly distribution to customers through GATS. Southeastern will
determine a total number of RECs to transfer to each customer based on
the customer's monthly invoices during the same three-month period.
RECs will be project-specific based on the customer's applicable
contractual arrangements. Thus, customers receiving energy from
Philpott will receive equivalent RECs from Philpott, and customers
receiving energy from Kerr will receive equivalent RECs from Kerr.
All RECs distributed by Southeastern shall be transferred within
thirty days of the end of the calendar year quarter (quarterly
distribution month). Each customer should submit to Southeastern, by
the tenth day of a quarterly distribution month, the name, contact
information, and identification number of the GATS account to which the
RECs are to be transferred initially and for any quarterly distribution
month in which the account for transfer changes. The account may be
held by a third party. If the customer fails to designate an account by
the tenth day of the quarterly distribution month, those RECs may not
be distributed until the following quarter. Any RECs that were not
transferred because a transfer account was not provided to Southeastern
may be forfeited if they become non-transferrable in the GATS Terms of
Use procedures, policies, or definitions of Reporting and Trading
Periods, or any subsequent procedures for transfers as established.
The initial quarterly transfer process in GATS will be accomplished
by the thirtieth day after the publication of the final policy
revision. Any balance of RECs that exist in Southeastern's GATS account
after the first quarterly transfer may also be transferred to
Preference Customers according to the customer's invoiced energy at the
time of the REC creation. Southeastern reserves the right to distribute
RECs to a Preference Customer at a later date for RECs declined by
failure to provide a GATS account for distribution and for RECs
currently existing in Southeastern's GATS account as part of the
initial implementation of the revised marketing policy in a manner
consistent with the distribution method in the policy revision.
Effect of Costs on Rates: No rates shall be established by
Southeastern for RECs transferred to Preference Customers. Any cost to
Southeastern, such as the GATS subscription, will be incorporated into
marketing costs and included in recovery through the energy and
capacity rates of the Kerr-Philpott System.
Environmental Impact: Southeastern has reviewed the possible
environmental impacts of the marketing policy revision under
consideration and has concluded that, because the RECs policy 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 the Federal
Register notice by the Office of Management and Budget is required.
Signing Authority
This document of the Department of Energy was signed on October 8,
2020,
[[Page 66327]]
by Virgil G. Hobbs III, Administrator, 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 October 14, 2020.
Treena V. Garrett,
Federal Register Liaison Officer, U.S. Department of Energy.
[FR Doc. 2020-23113 Filed 10-16-20; 8:45 am]
BILLING CODE 6450-01-P