Formula Rates for Central Valley Project Power, Transmission, and Ancillary Services; and California-Oregon Transmission Project Transmission Service-Rate Order No. WAPA-207, 59909-59912 [2023-18748]

Download as PDF Federal Register / Vol. 88, No. 167 / Wednesday, August 30, 2023 / Notices Character and Conditions of Service Alternating current at 60 hertz, threephase, delivered and metered at the voltages and points of delivery established by service agreement or contract. Long-Term Rate For transmission service one year or longer, the annual rate for each kilowatt per year is equal to the annual transmission revenue requirement divided by the estimated transmission delivery commitments, rounded to the nearest 12 cent increment. The annual rate for long-term service is payable monthly at a rate for each kilowatt per month equal to the annual rate for longterm service divided by 12. Rate Schedule PD–NFT7 Short-Term Rates (Supersedes Schedule PD–NFT6) For transmission service up to one year, the maximum rate for each kW is as follows: United States Department of Energy Western Area Power Administration Monthly: Equal to the annual long-term rate, divided by 12 and rounded to two decimal places Weekly: Equal to the annual long-term rate, divided by 52 and rounded to two decimal places Daily: Equal to the annual long-term rate, divided by 365 and rounded to two decimal places Hourly: Equal to the annual long-term rate, divided by 8,760 and rounded to five decimal places Discounts may be offered from time to time in accordance with Western’s Open Access Transmission Tariff. Schedule of Rate for Nonfirm Transmission Service Billing Western will bill firm point-to-point transmission service customers monthly by applying the rates under this rate schedule to the amount of capacity reserved. Payment for service will be required one month in advance of service. Adjustments for Reactive Power There shall be no entitlement to transfer of reactive kilovolt-amperes at delivery points, except when such transfers may be mutually agreed upon by the customer and Western or their authorized representatives. lotter on DSK11XQN23PROD with NOTICES1 Overrun of Capacity Reserved: [This Section Was Superseded by Rate Schedule DSW–UU1] Western will assess a charge for unauthorized use of transmission service at a rate equal to two times the applicable rate for the service at issue. The charge will be applied to use in excess of the reservation amount, which shall be the difference between the amount of transmission service actually used by the customer less the amount of transmission service the customer has reserved. The customer will incur the charge for an overrun during the calendar month or for the period of transmission service if such service is for a term of less than one month. Adjustments for Losses: [This Section Was Superseded by Rate Schedule DSW–TL1] Capacity and energy losses incurred in connection with the transmission and delivery of capacity and energy under this rate schedule shall be supplied by the customer in accordance with the service agreement or contract. VerDate Sep<11>2014 17:31 Aug 29, 2023 Jkt 259001 Parker-Davis Project Effective The first day of the first full billing period beginning on or after October 1, 2008, through September 30, 2013, or until superseded, whichever occurs earlier. [Note: This rate schedule was extended by Rate Order No. WAPA–162 through September 30, 2018, and by Rate Order No. WAPA–184 through September 30, 2023, and by Rate Order No. WAPA–210 through September 30, 2024.] Available In the area served by the Parker-Davis Project (P–DP). Applicable To nonfirm transmission service customers where capacity and energy are supplied to the P–DP system at points of interconnection with other systems and transmitted and delivered, less losses, to points of delivery on the P–DP system. Character and Conditions of Service Alternating current at 60 hertz, threephase, delivered and metered at the voltages and points of delivery established by service agreement or contract. Rate The nonfirm transmission service rate for each kilowatt per hour is equal to the annual transmission revenue requirement divided by the estimated transmission delivery commitments, divided by 8,760 and rounded to five decimal places. Discounts may be PO 00000 Frm 00046 Fmt 4703 Sfmt 4703 59909 offered from time to time in accordance with Western’s Open Access Transmission Tariff. Billing Western will bill nonfirm transmission customers monthly by applying the nonfirm rate under this rate schedule to the amount of capacity reserved. Adjustments for Reactive Power There shall be no entitlement to transfer of reactive kilovolt-amperes at delivery points, except when such transfers may be mutually agreed upon by the customer and Western or their authorized representatives. Adjustments for Losses: [This Section Was Superseded by Rate Schedule DSW–TL1] Capacity and energy losses incurred in connection with the transmission and delivery of capacity and energy under this rate schedule shall be supplied by the customer in accordance with the service agreement or contract. [FR Doc. 2023–18737 Filed 8–29–23; 8:45 am] BILLING CODE 6450–01–P DEPARTMENT OF ENERGY Western Area Power Administration Formula Rates for Central Valley Project Power, Transmission, and Ancillary Services; and CaliforniaOregon Transmission Project Transmission Service—Rate Order No. WAPA–207 Western Area Power Administration, DOE. ACTION: Notice of proposed power, transmission, and ancillary services formula rates. AGENCY: The Sierra Nevada Region (SN) of the Western Area Power Administration (WAPA) proposes new formula rates for the Central Valley Project (CVP) power, transmission, and ancillary services; and CaliforniaOregon Transmission Project (COTP) transmission service. The existing formula rates for these services expire on September 24, 2024, and December 31, 2024. SN proposes to keep the same formula rates, without adjustments, for these services. SN proposes no material changes aside from updating the effective dates. DATES: A consultation and comment period will begin August 30, 2023 and end November 28, 2023. SN will present a detailed explanation of the proposed formula rates at a public information forum that will be held on November SUMMARY: E:\FR\FM\30AUN1.SGM 30AUN1 lotter on DSK11XQN23PROD with NOTICES1 59910 Federal Register / Vol. 88, No. 167 / Wednesday, August 30, 2023 / Notices 15, 2023, at 10 a.m. PST to no later than 12:30 p.m. PST. SN will host a public comment forum on November 15, 2023, at 1:30 p.m. to no later than 3:30 p.m. PST. The public information forum and the public comment forum will be conducted via Microsoft Teams. Instructions for participating in the forums will be posted on SN’s website at least 14 days prior to the public information and comment forums at: https://www.wapa.gov/regions/SN/ rates/Pages/Rate-Case-2024-WAPA207.aspx. ADDRESSES: Written comments and requests to be informed of Federal Energy Regulatory Commission (FERC) actions concerning the proposed formula rates submitted by SN to FERC for approval should be sent to Bryan W. Griess, Acting Regional Manager, Sierra Nevada Region, Western Area Power Administration, 114 Parkshore Drive, Folsom, CA 95630, or email: SNRRateCase@wapa.gov. SN will post information about the proposed formula rates and written comments received to its website at: https://www.wapa.gov/ regions/SN/rates/Pages/Rate-Case-2024WAPA-207.aspx. FOR FURTHER INFORMATION CONTACT: Autumn Wolfe, Rates Manager, Sierra Nevada Region, Western Area Power Administration, (916) 353–4686 or email: SNR-RateCase@wapa.gov. SUPPLEMENTARY INFORMATION: On December 2, 2011, FERC approved and confirmed Rate Schedules for CVP power, transmission, and ancillary services; COTP transmission; and Pacific Alternating Current Intertie (PACI) transmission under Rate Order No. WAPA–156. That rate order was extended by Rate Order Nos. WAPA– 173 and WAPA–185. These rates are set to expire on September 30, 2024.1 The formula rate schedules are: • CV–F13—Base Resource and First Preference Power • CPP–2—Custom Product Power • CV–T3—Firm and Non-Firm Point-toPoint Transmission Service • CV–NWT5—Network Integration Transmission Service • COTP–T3—Firm and Non-Firm Pointto-Point Transmission Service • PACI–T3—Firm and Non-Firm Pointto-Point Transmission Service (to be handled in a separate rate case) • CV–TPT7—Third-Party Transmission Service • CV–UUP1—Unreserved Use Penalties • CV–RFS4—Regulation and Frequency Response 1 See Docket No. EF11–9–00 (137 FERC ¶ 62,201) (2011). Extended by Docket No. EF16–3–000 (156 FERC ¶ 62,039) (2016). Extended by Docket No. EF19–4–000 (168 FERC ¶ 62,150) (2019). VerDate Sep<11>2014 17:31 Aug 29, 2023 Jkt 259001 • CV–SPR4—Spinning Reserves • CV–SUR4—Supplemental Reserves On April 27, 2021, the FERC confirmed and approved Rate Order No. WAPA–194, which placed into effect formula rates for the Energy Imbalance Market (EIM) services, Sale of Surplus Products, and revisions to existing rate schedules for Energy Imbalance and Generator Imbalance services. These rates are set to expire on December 31, 2024.2 The formula rate schedules are: • CV–EIM1S—EIM Administrative Service Charge • CV–EIM4S—EIM Energy Imbalance Service • CV–EIM9S—EIM Generator Imbalance Service • CV–SSP2—Sale of Surplus Products • CV–EID5—Energy Imbalance Service • CV–GID2—Generator Imbalance Service The proposed rates continue the formula-based methodology that includes an annual update to the financial, load, and other data in the rate formulas. SN intends the proposed formula-based rates to go into effect October 1, 2024. The proposed formula rates would remain in effect until September 30, 2029, or until WAPA supersedes or changes the formula rates through another public rate process pursuant to 10 CFR part 903, whichever occurs first. The proposed formula rates would provide sufficient revenue to recover annual costs within the cost recovery criteria set forth in Department of Energy (DOE) Order RA 6120.2. SN proposed rate schedules are located on our website at: https://www.wapa.gov/ regions/SN/rates/Pages/Rate-Case-2024WAPA-207-Proposed-RateSchedules.aspx. For more detailed information on the proposed rate formulas, example calculations and cost comparisons, please visit the customer Proposed Rate Brochure located on SN’s website at: https://www.wapa.gov/ regions/SN/rates/Documents/RateOrder-WAPA-207-Proposed-RateBrochure.pdf. Proposed Power Revenue Requirement and Allocation to Preference Customers Before the start of each Fiscal Year (FY), SN would continue to calculate and publish an annual Power Revenue Requirement (PRR) to determine the total cost of power. The total cost of power is allocated to SN’s preference customers, namely, First Preference (FP) customers based on their FP percentages, and the remaining amount 2 See Docket No. EF21–1–000 (86 FERC ¶ 11760) (2021). PO 00000 Frm 00047 Fmt 4703 Sfmt 4703 to Base Resource (BR) customers based on their BR allocation, adjusted for programs, such as hourly exchange. The Trinity River Division Act of 1955 (69 Stat. 719) and the Flood Control Act of 1962 (76 Stat. 1173, 1191–1192) accorded first preference to CVP power to customers in Trinity, Tuolumne, and Calaveras Counties. A BR customer, under the 2004 and 2025 Marketing Plans, is an entity that has executed a BR contract and is allocated a percentage of the BR. SN prepares a Power Repayment Study (PRS) each FY to determine if revenue will be sufficient to repay, within the required periods, all costs assigned to the commercial power function. Generally, the PRR includes Operation and Maintenance (O&M) expenses, purchased power for Project Use and FP customers’ loads, interest, and other expenses (including any other statutorily required costs or charges), investment repayment, and the Washoe Project annual PRR. Revenues from Project Use, transmission, ancillary services, and other services offset expenses in the PRR; and the remainder is collected from BR and FP customers. The PRR is reviewed during March of each year; and if such review results in a change of $5 million or more to the annual PRR, collections are adjusted over the remaining 6-month period. The PRR is an estimate of revenues and expenses including investment and repayment projections from the PRS. Any variance from estimate to actual will increase or decrease annual project repayment. Project repayment is measured over the long term to ensure repayment is met and to maintain rate stability. For SN to meet the load requirements beyond delivered BR for Full Load Service (FLS) customers and Variable Resource (VR) customers, SN may make Supplemental Power (SP) purchases pursuant to the Custom Product Power (CPP) rate schedule. FLS and VR customers who contract with SN for such service will pay all SP costs. FLS customers pay a portfolio management charge according to their contract, whereas VR customers pay a scheduling charge per the rate schedule. Proposed Transmission and Ancillary Services Revenue Requirements and Formula Rates At least annually, SN will publish the CVP transmission rates for Point-toPoint and Network Integration Transmission Service (NITS), the COTP transmission rates, and CVP regulation and frequency response service rates. SN prepares a detailed cost-of-service study to determine the costs, by project, E:\FR\FM\30AUN1.SGM 30AUN1 Federal Register / Vol. 88, No. 167 / Wednesday, August 30, 2023 / Notices that support the transfer capability of each transmission system and the cost that supports the generation capability of the CVP system. Generally, the costs allocated through the cost-of-service study for the transmission systems include O&M, interest, and depreciation expenses. SN’s costs for scheduling, system control and dispatch service associated with CVP and COTP transmission service are included and recovered through the respective transmission system’s Revenue Requirement. Third-party transmission service costs are passed through directly to each requesting customer. SN proposes the Unreserved Use Penalties continue to be assessed at 200 percent of the effective point-to-point transmission rate when transmission service is used and not reserved or when used in excess of the reservation. The required spinning and supplemental reserves charges are based on a price consistent with the California Independent System Operator’s (CAISO) market price plus all costs incurred for the sale of these reserves. Customers who have a contractual obligation to provide spinning and supplemental reserves and do not fulfill their obligation will be assessed a penalty equal to the greater of SN’s actual cost or 150 percent of the market price. For Energy Imbalance (EI) service, when the EIM is suspended, customers outside of their contractual bandwidth (under delivery) will pay the greater of 150 percent of the market price or SN’s actual cost. Given SN’s EI customers are and will continue to operate under existing agreements, SN will continue its existing rate methodology for EI. SN proposes the GI rate use the same tiered methodology as SN’s proposed EI service rate. lotter on DSK11XQN23PROD with NOTICES1 Proposed Sale of Surplus Products Formula Rates The proposed rates would be for the sale of surplus energy and/or capacity products. This includes Energy, Frequency Response Reserve, Regulation, Reserves, and Resource Sufficiency. If CVP surplus products are available, SN could make the product(s) available for sale, provided entities enter into separate agreement(s) which would specify the terms of sale(s). Proposed EIM Service Formula Rates SN will continue participation in the EIM as a Transmission Service Provider (TSP) within the Balancing Authority of Northern California (BANC) Balancing Authority Area (BAA). SN is proposing continued formula rate schedules for: (1) EIM Administrative Service, (2) EIM EI Service, and (3) EIM GI Service. In VerDate Sep<11>2014 17:31 Aug 29, 2023 Jkt 259001 EIM, CAISO economically dispatches energy under its EIM Tariff to meet the imbalances for loads and resources over multiple BAAs. CAISO provides a centralized, automated, and region-wide dispatch for imbalances. The EIM Administrative Services formula rate continues to allow SN to pass through administrative costs incurred by SN resulting from its participation in EIM as a Participating Resource Scheduling Coordinator (PRSC). The formula rates and cost allocation for Administrative, EI, and GI services would be in effect when SN is participating in the EIM, and to the extent SN incurs associated settlements during market suspension or contingency. Legal Authority Existing DOE procedures for public participation in power and transmission rate adjustments (10 CFR part 903) were published on September 18, 1985, and February 21, 2019.3 The proposed action is a major rate adjustment, as defined by 10 CFR 903.2(d). In accordance with 10 CFR 903.15(a) and 10 CFR 903.16(a), SN will hold public information and public comment forums for this rate adjustment. SN will review and consider all timely public comments at the conclusion of the consultation and comment period and adjust the proposal as appropriate. The rates will then be approved on an interim basis. SN is establishing the formula rates for COTP and CVP transmission, CVP power, and other related services in accordance with section 302 of the DOE Organization Act (42 U.S.C. 7152).4 By Delegation Order No. S1–DEL– RATES–2016, effective November 19, 2016, the Secretary of Energy delegated: (1) the authority to develop power and transmission rates to the WAPA Administrator; (2) the authority to confirm, approve, and place such rates into effect on an interim basis to the Deputy Secretary of Energy; and (3) the authority to confirm, approve, and place into effect on a final basis, or to remand or disapprove such rates, to FERC. By Delegation Order No. S1–DEL–S3–2023, effective April 10, 2023, the Secretary of Energy also delegated the authority to confirm, approve, and place such rates into effect on an interim basis to the 3 50 FR 37835 (Sept. 18, 1985) and 84 FR 5347 (Feb. 21, 2019). 4 This Act transferred to, and vested in, the Secretary of Energy the power marketing functions of the Secretary of the Department of the Interior and the Bureau of Reclamation (Reclamation) under the Reclamation Act of 1902 (ch. 1093, 32 Stat. 388), as amended and supplemented by subsequent laws, particularly section 9(c) of the Reclamation Project Act of 1939 (43 U.S.C. 485h(c)), and other acts that specifically apply to the projects involved. PO 00000 Frm 00048 Fmt 4703 Sfmt 4703 59911 Under Secretary for Infrastructure. By Redelegation Order No. S3–DEL– WAPA1–2023, effective April 10, 2023, the Under Secretary for Infrastructure further redelegated the authority to confirm, approve, and place such rates into effect on an interim basis to WAPA’s Administrator. Availability of Information All brochures, studies, comments, letters, memorandums, or other documents that SN initiates or uses to develop the proposed formula rates are available for inspection and copying at the Sierra Nevada Region, located at 114 Parkshore Drive, Folsom, California. Many of these documents and supporting information are also available on SN’s website at: https:// www.wapa.gov/regions/SN/rates/Pages/ Rate-Case-2024-WAPA-207.aspx. Ratemaking Procedure Requirements Environmental Compliance SN is in the process of determining whether an environmental assessment or an environmental impact statement should be prepared or if this action can be categorically excluded from those requirements.5 Determination Under Executive Order 12866 WAPA has an exemption from centralized regulatory review under Executive Order 12866; accordingly, no clearance of this notice by the Office of Management and Budget is required. Signing Authority This document of the Department of Energy was signed on August 24, 2023, by Tracey A. LeBeau, Administrator, Western Area Power Administration, pursuant to delegated authority from the Secretary of Energy. That document, with the original signature and date, is maintained by DOE. For administrative purposes only, and in compliance with requirements of the Office of the Federal Register, the undersigned DOE Federal Register Liaison Officer has been authorized to sign and submit the document in electronic format for publication, as an official document of the Department of Energy. This administrative process in no way alters the legal effect of this document upon publication in the Federal Register. 5 In compliance with the National Environmental Policy Act (NEPA) of 1969, as amended, 42 U.S.C. 4321–4347; the Council on Environmental Quality Regulations for implementing NEPA (40 CFR parts 1500–1508); and DOE NEPA Implementing Procedures and Guidelines (10 CFR part 1021). E:\FR\FM\30AUN1.SGM 30AUN1 59912 Federal Register / Vol. 88, No. 167 / Wednesday, August 30, 2023 / Notices Signed in Washington, DC, on August 25, 2023. Treena V. Garrett, Federal Register Liaison Officer, U.S. Department of Energy. [FR Doc. 2023–18748 Filed 8–29–23; 8:45 am] BILLING CODE 6450–01–P ENVIRONMENTAL PROTECTION AGENCY [FRL–11289–01–OA] Local Government Advisory Committee: Request for Nominations Environmental Protection Agency (EPA). ACTION: Notice of request for nominations. AGENCY: The U.S. Environmental Protection Agency (EPA) invites nominations from a diverse range of qualified candidates to be considered for appointment to its Local Government Advisory Committee (LGAC). Qualified nominees for the LGAC hold elected positions with local, Tribal, State, or Territorial governments, or serve in a full-time government position appointed by an elected official. EPA is seeking up to 5 individuals to serve one-year terms beginning in January 2024. For more information on the LGAC, including member bios, recent meeting summaries and recommendations, visit: https:// www.epa.gov/ocir/local-governmentadvisory-committee-lgac. DATES: To be considered for 2024 appointments, nominations should be submitted by September 30, 2023. ADDRESSES: How to Apply: Submit nominations electronically to LGAC@ epa.gov with a subject heading of ‘LGAC 2024 NOMINATION’ and complete the form at https://tinyurl.com/yvt2t6f8. FOR FURTHER INFORMATION CONTACT: Paige Lieberman, the LGAC Designated Federal Officer at (202) 564–9957/ LGAC@epa.gov. SUPPLEMENTARY INFORMATION: lotter on DSK11XQN23PROD with NOTICES1 SUMMARY: Qualifications The Local Government Advisory Committee (LGAC) is chartered under the Federal Advisory Committee Act (FACA), Public Law 92–463, to advise the EPA Administrator on environmental issues impacting local governments. Members of LGAC will provide advice and recommendations on a broad range of issues related to promoting and protecting public health and the environment. For 2024 the topics addressed will include but not be limited to: VerDate Sep<11>2014 17:31 Aug 29, 2023 Jkt 259001 • Advancing environmental justice; • Developing capacity for technical assistance at the local level; • Reducing greenhouse gas emissions; • Bolstering resilience to the impacts of climate change; • Supporting local governments in the assessment and remediation of PFAS chemicals. Viable candidates must be current elected officials representing local, State, Tribal, or Territorial governments. Officials working full-time for a local, State, Tribal, or Territorial government who have been appointed directly by an elected official will also be considered. Preference will be given to qualified candidates who demonstrate experience developing and implementing environmental programs consistent with the 2024 topics listed above. To maintain geographical diversity of the Committee, preference for LGAC membership may also be given to qualified candidates from Tribal or Territorial governments, and candidates from the Southwest U.S. Additional criteria to be considered may include: experience with multisector partnerships; coalition-building and grassroots involvement; involvement and leadership in national, State or regional intergovernmental associations; and diversity in vocational/career/volunteer background. Time Commitment New LGAC members are appointed for 1-year terms and are eligible for reappointment for up to 6 years. In 2024, the Committee plans to hold two or three full-day, public meetings, where both in-person and online participation options will be available. In addition to public meetings, Workgroups will be created to address the 2024 topics noted above, as well as any emerging issues. Members will be encouraged to serve on one or more Workgroups, where they will be asked to share their experiences working on an issue, recommend experts on an issue for the Committee to consult with, debate the nuances of policy implementation, and review written recommendations before they are shared with the full Committee. Applicants should plan to spend an average of three hours per month on Committee work. While EPA is unable to provide compensation for services, official Committee travel and related expenses (lodging, etc.) will be fully reimbursed. Nominations Nominations must be submitted in electronic format. To be considered, all nominations should complete the PO 00000 Frm 00049 Fmt 4703 Sfmt 4703 application at this link: https:// forms.gle/8gccVHdd6UUGVZYU9. Other sources, in addition to this Federal Register notice, may be utilized in the solicitation of nominees. EPA expressly values diversity, equity, and inclusion, and encourages the nominations of elected and appointed officials from diverse backgrounds so that the LGAC and SCAS look like America and reflect the country’s rich diversity. Individuals may selfnominate. Dated: August 22, 2023. Paige Lieberman, EPA Designated Federal Officer, Local Government Advisory Committee. [FR Doc. 2023–18652 Filed 8–29–23; 8:45 am] BILLING CODE 6560–50–P ENVIRONMENTAL PROTECTION AGENCY [FRL–11275–01–R9] Revision of Approved Primacy Program for Guam Environmental Protection Agency (EPA). ACTION: Notice of approval. AGENCY: Notice is hereby given that Guam revised its approved primacy program under the federal Safe Drinking Water Act (SDWA) by adopting regulations that effectuate the federal Revised Total Coliform Rule (RTCR). The Environmental Protection Agency (EPA) has determined that Guam’s revision request meets the applicable SDWA program revision requirements and the regulations adopted by Guam are no less stringent than the corresponding federal regulations. Therefore, EPA approves this revision to Guam’s approved primacy program. However, this determination on Guam’s request for approval of a program revision shall take effect in accordance with the procedures described below in the SUPPLEMENTARY INFORMATION section of this notice after the opportunity to request a public hearing. DATES: A request for a public hearing must be received or postmarked before September 29, 2023. ADDRESSES: Documents relating to this determination that were submitted by Guam as part of its program revision request are available for public inspection online at https:// notices.guam.gov, or available upon request by emailing julie.mendoza@ epa.guam.gov. In addition, these documents are available by appointment between the hours of 8:00–11:30 a.m. and 1:00–4:00 p.m., Monday through SUMMARY: E:\FR\FM\30AUN1.SGM 30AUN1

Agencies

[Federal Register Volume 88, Number 167 (Wednesday, August 30, 2023)]
[Notices]
[Pages 59909-59912]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2023-18748]


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DEPARTMENT OF ENERGY

Western Area Power Administration


Formula Rates for Central Valley Project Power, Transmission, and 
Ancillary Services; and California-Oregon Transmission Project 
Transmission Service--Rate Order No. WAPA-207

AGENCY: Western Area Power Administration, DOE.

ACTION: Notice of proposed power, transmission, and ancillary services 
formula rates.

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

SUMMARY: The Sierra Nevada Region (SN) of the Western Area Power 
Administration (WAPA) proposes new formula rates for the Central Valley 
Project (CVP) power, transmission, and ancillary services; and 
California-Oregon Transmission Project (COTP) transmission service. The 
existing formula rates for these services expire on September 24, 2024, 
and December 31, 2024. SN proposes to keep the same formula rates, 
without adjustments, for these services. SN proposes no material 
changes aside from updating the effective dates.

DATES: A consultation and comment period will begin August 30, 2023 and 
end November 28, 2023. SN will present a detailed explanation of the 
proposed formula rates at a public information forum that will be held 
on November

[[Page 59910]]

15, 2023, at 10 a.m. PST to no later than 12:30 p.m. PST. SN will host 
a public comment forum on November 15, 2023, at 1:30 p.m. to no later 
than 3:30 p.m. PST. The public information forum and the public comment 
forum will be conducted via Microsoft Teams. Instructions for 
participating in the forums will be posted on SN's website at least 14 
days prior to the public information and comment forums at: https://www.wapa.gov/regions/SN/rates/Pages/Rate-Case-2024-WAPA-207.aspx.

ADDRESSES: Written comments and requests to be informed of Federal 
Energy Regulatory Commission (FERC) actions concerning the proposed 
formula rates submitted by SN to FERC for approval should be sent to 
Bryan W. Griess, Acting Regional Manager, Sierra Nevada Region, Western 
Area Power Administration, 114 Parkshore Drive, Folsom, CA 95630, or 
email: [email protected]. SN will post information about the 
proposed formula rates and written comments received to its website at: 
https://www.wapa.gov/regions/SN/rates/Pages/Rate-Case-2024-WAPA-207.aspx.

FOR FURTHER INFORMATION CONTACT: Autumn Wolfe, Rates Manager, Sierra 
Nevada Region, Western Area Power Administration, (916) 353-4686 or 
email: [email protected].

SUPPLEMENTARY INFORMATION: On December 2, 2011, FERC approved and 
confirmed Rate Schedules for CVP power, transmission, and ancillary 
services; COTP transmission; and Pacific Alternating Current Intertie 
(PACI) transmission under Rate Order No. WAPA-156. That rate order was 
extended by Rate Order Nos. WAPA-173 and WAPA-185. These rates are set 
to expire on September 30, 2024.\1\ The formula rate schedules are:
---------------------------------------------------------------------------

    \1\ See Docket No. EF11-9-00 (137 FERC ] 62,201) (2011). 
Extended by Docket No. EF16-3-000 (156 FERC ] 62,039) (2016). 
Extended by Docket No. EF19-4-000 (168 FERC ] 62,150) (2019).

 CV-F13--Base Resource and First Preference Power
 CPP-2--Custom Product Power
 CV-T3--Firm and Non-Firm Point-to-Point Transmission Service
 CV-NWT5--Network Integration Transmission Service
 COTP-T3--Firm and Non-Firm Point-to-Point Transmission Service
 PACI-T3--Firm and Non-Firm Point-to-Point Transmission Service 
(to be handled in a separate rate case)
 CV-TPT7--Third-Party Transmission Service
 CV-UUP1--Unreserved Use Penalties
 CV-RFS4--Regulation and Frequency Response
 CV-SPR4--Spinning Reserves
 CV-SUR4--Supplemental Reserves

    On April 27, 2021, the FERC confirmed and approved Rate Order No. 
WAPA-194, which placed into effect formula rates for the Energy 
Imbalance Market (EIM) services, Sale of Surplus Products, and 
revisions to existing rate schedules for Energy Imbalance and Generator 
Imbalance services. These rates are set to expire on December 31, 
2024.\2\ The formula rate schedules are:
---------------------------------------------------------------------------

    \2\ See Docket No. EF21-1-000 (86 FERC ] 11760) (2021).

 CV-EIM1S--EIM Administrative Service Charge
 CV-EIM4S--EIM Energy Imbalance Service
 CV-EIM9S--EIM Generator Imbalance Service
 CV-SSP2--Sale of Surplus Products
 CV-EID5--Energy Imbalance Service
 CV-GID2--Generator Imbalance Service

    The proposed rates continue the formula-based methodology that 
includes an annual update to the financial, load, and other data in the 
rate formulas. SN intends the proposed formula-based rates to go into 
effect October 1, 2024. The proposed formula rates would remain in 
effect until September 30, 2029, or until WAPA supersedes or changes 
the formula rates through another public rate process pursuant to 10 
CFR part 903, whichever occurs first.
    The proposed formula rates would provide sufficient revenue to 
recover annual costs within the cost recovery criteria set forth in 
Department of Energy (DOE) Order RA 6120.2. SN proposed rate schedules 
are located on our website at: https://www.wapa.gov/regions/SN/rates/Pages/Rate-Case-2024-WAPA-207-Proposed-Rate-Schedules.aspx. For more 
detailed information on the proposed rate formulas, example 
calculations and cost comparisons, please visit the customer Proposed 
Rate Brochure located on SN's website at: https://www.wapa.gov/regions/SN/rates/Documents/Rate-Order-WAPA-207-Proposed-Rate-Brochure.pdf.

Proposed Power Revenue Requirement and Allocation to Preference 
Customers

    Before the start of each Fiscal Year (FY), SN would continue to 
calculate and publish an annual Power Revenue Requirement (PRR) to 
determine the total cost of power. The total cost of power is allocated 
to SN's preference customers, namely, First Preference (FP) customers 
based on their FP percentages, and the remaining amount to Base 
Resource (BR) customers based on their BR allocation, adjusted for 
programs, such as hourly exchange. The Trinity River Division Act of 
1955 (69 Stat. 719) and the Flood Control Act of 1962 (76 Stat. 1173, 
1191-1192) accorded first preference to CVP power to customers in 
Trinity, Tuolumne, and Calaveras Counties. A BR customer, under the 
2004 and 2025 Marketing Plans, is an entity that has executed a BR 
contract and is allocated a percentage of the BR.
    SN prepares a Power Repayment Study (PRS) each FY to determine if 
revenue will be sufficient to repay, within the required periods, all 
costs assigned to the commercial power function. Generally, the PRR 
includes Operation and Maintenance (O&M) expenses, purchased power for 
Project Use and FP customers' loads, interest, and other expenses 
(including any other statutorily required costs or charges), investment 
repayment, and the Washoe Project annual PRR. Revenues from Project 
Use, transmission, ancillary services, and other services offset 
expenses in the PRR; and the remainder is collected from BR and FP 
customers. The PRR is reviewed during March of each year; and if such 
review results in a change of $5 million or more to the annual PRR, 
collections are adjusted over the remaining 6-month period. The PRR is 
an estimate of revenues and expenses including investment and repayment 
projections from the PRS. Any variance from estimate to actual will 
increase or decrease annual project repayment. Project repayment is 
measured over the long term to ensure repayment is met and to maintain 
rate stability.
    For SN to meet the load requirements beyond delivered BR for Full 
Load Service (FLS) customers and Variable Resource (VR) customers, SN 
may make Supplemental Power (SP) purchases pursuant to the Custom 
Product Power (CPP) rate schedule. FLS and VR customers who contract 
with SN for such service will pay all SP costs. FLS customers pay a 
portfolio management charge according to their contract, whereas VR 
customers pay a scheduling charge per the rate schedule.

Proposed Transmission and Ancillary Services Revenue Requirements and 
Formula Rates

    At least annually, SN will publish the CVP transmission rates for 
Point-to-Point and Network Integration Transmission Service (NITS), the 
COTP transmission rates, and CVP regulation and frequency response 
service rates. SN prepares a detailed cost-of-service study to 
determine the costs, by project,

[[Page 59911]]

that support the transfer capability of each transmission system and 
the cost that supports the generation capability of the CVP system. 
Generally, the costs allocated through the cost-of-service study for 
the transmission systems include O&M, interest, and depreciation 
expenses. SN's costs for scheduling, system control and dispatch 
service associated with CVP and COTP transmission service are included 
and recovered through the respective transmission system's Revenue 
Requirement. Third-party transmission service costs are passed through 
directly to each requesting customer.
    SN proposes the Unreserved Use Penalties continue to be assessed at 
200 percent of the effective point-to-point transmission rate when 
transmission service is used and not reserved or when used in excess of 
the reservation. The required spinning and supplemental reserves 
charges are based on a price consistent with the California Independent 
System Operator's (CAISO) market price plus all costs incurred for the 
sale of these reserves. Customers who have a contractual obligation to 
provide spinning and supplemental reserves and do not fulfill their 
obligation will be assessed a penalty equal to the greater of SN's 
actual cost or 150 percent of the market price.
    For Energy Imbalance (EI) service, when the EIM is suspended, 
customers outside of their contractual bandwidth (under delivery) will 
pay the greater of 150 percent of the market price or SN's actual cost. 
Given SN's EI customers are and will continue to operate under existing 
agreements, SN will continue its existing rate methodology for EI. SN 
proposes the GI rate use the same tiered methodology as SN's proposed 
EI service rate.

Proposed Sale of Surplus Products Formula Rates

    The proposed rates would be for the sale of surplus energy and/or 
capacity products. This includes Energy, Frequency Response Reserve, 
Regulation, Reserves, and Resource Sufficiency. If CVP surplus products 
are available, SN could make the product(s) available for sale, 
provided entities enter into separate agreement(s) which would specify 
the terms of sale(s).

Proposed EIM Service Formula Rates

    SN will continue participation in the EIM as a Transmission Service 
Provider (TSP) within the Balancing Authority of Northern California 
(BANC) Balancing Authority Area (BAA). SN is proposing continued 
formula rate schedules for: (1) EIM Administrative Service, (2) EIM EI 
Service, and (3) EIM GI Service. In EIM, CAISO economically dispatches 
energy under its EIM Tariff to meet the imbalances for loads and 
resources over multiple BAAs. CAISO provides a centralized, automated, 
and region-wide dispatch for imbalances. The EIM Administrative 
Services formula rate continues to allow SN to pass through 
administrative costs incurred by SN resulting from its participation in 
EIM as a Participating Resource Scheduling Coordinator (PRSC). The 
formula rates and cost allocation for Administrative, EI, and GI 
services would be in effect when SN is participating in the EIM, and to 
the extent SN incurs associated settlements during market suspension or 
contingency.

Legal Authority

    Existing DOE procedures for public participation in power and 
transmission rate adjustments (10 CFR part 903) were published on 
September 18, 1985, and February 21, 2019.\3\ The proposed action is a 
major rate adjustment, as defined by 10 CFR 903.2(d). In accordance 
with 10 CFR 903.15(a) and 10 CFR 903.16(a), SN will hold public 
information and public comment forums for this rate adjustment. SN will 
review and consider all timely public comments at the conclusion of the 
consultation and comment period and adjust the proposal as appropriate. 
The rates will then be approved on an interim basis.
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    \3\ 50 FR 37835 (Sept. 18, 1985) and 84 FR 5347 (Feb. 21, 2019).
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    SN is establishing the formula rates for COTP and CVP transmission, 
CVP power, and other related services in accordance with section 302 of 
the DOE Organization Act (42 U.S.C. 7152).\4\
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    \4\ This Act transferred to, and vested in, the Secretary of 
Energy the power marketing functions of the Secretary of the 
Department of the Interior and the Bureau of Reclamation 
(Reclamation) under the Reclamation Act of 1902 (ch. 1093, 32 Stat. 
388), as amended and supplemented by subsequent laws, particularly 
section 9(c) of the Reclamation Project Act of 1939 (43 U.S.C. 
485h(c)), and other acts that specifically apply to the projects 
involved.
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    By Delegation Order No. S1-DEL-RATES-2016, effective November 19, 
2016, the Secretary of Energy delegated: (1) the authority to develop 
power and transmission rates to the WAPA Administrator; (2) the 
authority to confirm, approve, and place such rates into effect on an 
interim basis to the Deputy Secretary of Energy; and (3) the authority 
to confirm, approve, and place into effect on a final basis, or to 
remand or disapprove such rates, to FERC. By Delegation Order No. S1-
DEL-S3-2023, effective April 10, 2023, 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 for Infrastructure. 
By Redelegation Order No. S3-DEL-WAPA1-2023, effective April 10, 2023, 
the Under Secretary for Infrastructure further redelegated the 
authority to confirm, approve, and place such rates into effect on an 
interim basis to WAPA's Administrator.

Availability of Information

    All brochures, studies, comments, letters, memorandums, or other 
documents that SN initiates or uses to develop the proposed formula 
rates are available for inspection and copying at the Sierra Nevada 
Region, located at 114 Parkshore Drive, Folsom, California. Many of 
these documents and supporting information are also available on SN's 
website at: https://www.wapa.gov/regions/SN/rates/Pages/Rate-Case-2024-WAPA-207.aspx.

Ratemaking Procedure Requirements

Environmental Compliance

    SN is in the process of determining whether an environmental 
assessment or an environmental impact statement should be prepared or 
if this action can be categorically excluded from those 
requirements.\5\
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    \5\ In compliance with the National Environmental Policy Act 
(NEPA) of 1969, as amended, 42 U.S.C. 4321-4347; the Council on 
Environmental Quality Regulations for implementing NEPA (40 CFR 
parts 1500-1508); and DOE NEPA Implementing Procedures and 
Guidelines (10 CFR part 1021).
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Determination Under Executive Order 12866

    WAPA has an exemption from centralized regulatory review under 
Executive Order 12866; accordingly, no clearance of this notice by the 
Office of Management and Budget is required.

Signing Authority

    This document of the Department of Energy was signed on August 24, 
2023, by Tracey A. LeBeau, Administrator, Western Area Power 
Administration, pursuant to delegated authority from the Secretary of 
Energy. That document, with the original signature and date, is 
maintained by DOE. For administrative purposes only, and in compliance 
with requirements of the Office of the Federal Register, the 
undersigned DOE Federal Register Liaison Officer has been authorized to 
sign and submit the document in electronic format for publication, as 
an official document of the Department of Energy. This administrative 
process in no way alters the legal effect of this document upon 
publication in the Federal Register.


[[Page 59912]]


    Signed in Washington, DC, on August 25, 2023.
Treena V. Garrett,
Federal Register Liaison Officer, U.S. Department of Energy.
[FR Doc. 2023-18748 Filed 8-29-23; 8:45 am]
BILLING CODE 6450-01-P
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