Southwestern Power Administration – Federal Register Recent Federal Regulation Documents

Pursuant to Delegation Order Nos. 00-037.00A, effective October 25, 2013, and 00-001.0OE, effective June 6, 2013, the Deputy Secretary has approved and placed into effect on an interim basis Rate Order No. SWPA-68, which increases the power rate for the Robert D. Willis Hydropower Project (Willis) pursuant to the Willis Rate Schedule which supersedes the existing rate schedule.

The U.S. Department of Energy Deputy Secretary has approved and placed into effect on an interim basis Rate Order No. SWPA-66, which increases the power rates for the Integrated System pursuant to the Integrated System Rate Schedules to supersede the existing rate schedules.

The current Sam Rayburn Dam Project rate was approved by the Federal Energy Regulatory Commission (FERC) on March 30, 2009, Docket No. EF09-4021-000, 126 FERC ] 62,224. These rates became effective for the period January 1, 2009, through September 30, 2012. The rate was extended by the Deputy Secretary of Energy for the period October 1, 2012 through September 30, 2013 (77 FR 67813, November. 14, 2012). The Administrator, Southwestern Power Administration (Southwestern), has prepared Current and Revised 2013 Power Repayment Studies which show the need for an increase in annual revenues of $280,248 (7.1 percent) to meet cost recovery criteria. Such increased revenues are needed primarily to recover cost increases to investments and replacements in the hydroelectric generating facilities and small increases to annual operations and maintenance costs by the U.S. Army Corps of Engineers. The Administrator of Southwestern has developed a proposed Sam Rayburn Dam rate to recover the required revenues. The Revised 2013 Study indicates that the proposed rates would increase annual system revenues approximately 7.1 percent, from $3,949,872 to $4,230,120, effective October 1, 2013 through September 30, 2017.

The Deputy Secretary of Energy has approved and placed into effect on an interim basis Rate Order No. SWPA-65.

The current Sam Rayburn Dam Project rate was approved by the Federal Energy Regulatory Commission (FERC) on March 30, 2009, Docket No. EF09-4021-000. These rates became effective for the period January 1, 2009, through September 30, 2012. The Administrator, Southwestern Power Administration (Southwestern), has prepared Current and Revised 2012 Power Repayment Studies which show the need for an increase in annual revenues of $193,896 (4.9 percent) to meet cost recovery criteria. In accordance with Southwestern's isolated project rate adjustment threshold, signed September 8, 2003, the Administrator, Southwestern, may determine, on a case by case basis, that for a revenue decrease or increase in the magnitude of five percent or less, deferral of a formal rate filing is in the best interest of the Government. The Deputy Secretary of Energy has the authority to extend rates, previously confirmed and approved by FERC, on an interim basis, pursuant to title 10, part 903, subpart A of the Code of Federal Regulations (10 CFR part 903), sections 903.22(h) and 903.23(a)(3) . In accordance with these authorities, Southwestern proposes to defer the rate adjustment and proposes that the current rates be extended for a one-year period effective through September 30, 2013.

Pursuant to Delegation Order Nos. 00-037.00, effective December 6, 2001, and 00-001.00C, effective January 31, 2007, the Deputy Secretary has approved and placed into effect on an interim basis Rate Order No. SWPA-63, which increases the power rates for the Integrated System pursuant to the Integrated System Rate Schedules which supersede the existing rate schedules.

The Administrator, Southwestern Power Administration (Southwestern), has prepared Current and Revised 2011 Power Repayment Studies which show the need for an increase in annual revenues to meet cost recovery criteria. Such increased revenues are needed primarily to cover increased costs associated with compliance requirements of the North American Electric Reliability Corporation and to cover increased investments and replacements in hydroelectric generating facilities. The Administrator has developed proposed Integrated System rates, which are supported by a rate design study, to recover the required revenues. The June 2011 Revised Study indicates that the proposed rates would increase annual system revenues approximately 5.4 percent from $177,191,800 to $186,761,225 effective November 1, 2011 through September 30, 2015.

The Department of Energy (DOE or Department), acting through the Southwestern Power Administration (Southwestern) and the Western Area Power Administration (Western), both power marketing administrations (PMAs) within the Department, is seeking Project Proposals from entities that are interested in providing contributed funds under section 1222 of the Energy Policy Act of 2005 (EPAct) for Southwestern or Western's participation in the upgrade of existing transmission facilities owned by either PMA, or the construction of new transmission lines in the states in which either PMA operates.

The Administrator, Southwestern Power Administration (Southwestern), has prepared Current and Revised 2009 Power Repayment Studies which show the need for an increase in annual revenues to meet cost recovery criteria. Such increased revenues are needed primarily to cover increased investments and replacements in hydroelectric generating facilities and increased operation and maintenance expenses. The Administrator has developed proposed Integrated System rates, which are supported by a rate design study, to recover the required revenues. The June 2009 Revised Study indicates that the proposed rates would increase annual system revenues approximately 10.8 percent from $160,255,300 to $177,586,158.

Section 132 of Public Law 109-103 (2005) authorized and directed the Secretary of the Army to implement alternatives BS-3 and NF-7, as described in the White River Minimum Flows Reallocation Study Report, Arkansas and Missouri, dated July 2004. The law states that the Administrator, Southwestern Power Administration (Southwestern), in consultation with the project licensee and the relevant state public utility commissions, shall determine any impacts on electric energy and capacity generated at Federal Energy Regulatory Commission (FERC) Project No. 2221 caused by the storage reallocation at Bull Shoals Lake. Further, the licensee of Project No. 2221 shall be fully compensated by the Corps of Engineers for those impacts on the basis of the present value of the estimated future lifetime replacement costs of the electrical energy and capacity at the time of implementation of the White River Minimum Flows project. The law also states that losses to the Federal hydropower purpose of the Bull Shoals and Norfork Projects shall be offset by a reduction in the costs allocated to the Federal hydropower purpose. Further, such reduction shall be determined by the Administrator of Southwestern on the basis of the present value of the estimated future lifetime replacement cost of the electrical energy and capacity at the time of implementation of the White River Minimum Flows project. Southwestern's draft determination was published by Federal Register Notice (73 FR 6717) dated February 5, 2008. Written comments were invited through March 6, 2008. All public comments received were considered, and Southwestern's draft determination was revised as necessary to incorporate the public comments. Since there were significant changes to Southwestern's draft determination, Southwestern published a proposed determination for additional public review and comment prior to its final determination. Southwestern's proposed determination was published by Federal Register Notice (73 FR 38198) on July 3, 2008. Written comments were invited through August 4, 2008. After receiving several requests for additional time to provide public comments, Southwestern reopened the public comment period through September 18, 2008. All public comments received were considered in revising the proposed determination, and Southwestern is publishing notification of its final determination. Southwestern's final determination is fully documented in its Final Determination Report dated January 2009, which was prepared in consultation with the licensee and the relevant public service commissions. Southwestern's Final Determination Report documents the procedure to be used to calculate the present value of the future lifetime replacement cost of the electrical energy and capacity lost due to the White River Minimum Flows project at the non-Federal FERC Project No. 2221 and the Federal Bull Shoals and Norfork projects. The actual hydropower compensation values are to be calculated using the method presented in the final determination and current values for the specified parameters based on the official implementation date. Assuming a January 1, 2011, date of implementation for the White River Minimum Flows project and November 2008 values for the specified parameters, Southwestern's determination results in a present value for the estimated future lifetime replacement costs of the electrical energy and capacity at FERC Project No. 2221 of $41,319,400. Southwestern's determination results in a present value for the estimated future lifetime replacement costs of the electrical energy and capacity for Federal hydropower of $109,920,200. An electronic copy of Southwestern's Final Determination Report is available on Southwestern's Web site at https://www.swpa.gov/pdfs/WRMF_ SWPA_FinalDeterminationReport.pdf.

Pursuant to Delegation Order Nos. 00-037.00, effective December 6, 2001, and 00-001.00C, effective January 31, 2007, the Deputy Secretary has approved and placed into effect on an interim basis Rate Order No. SWPA-60, which increases the power rate for the Sam Rayburn Dam (Rayburn) pursuant to the following Sam Rayburn Dam Rate Schedule:

The Administrator, Southwestern Power Administration (Southwestern), has prepared Current and Revised 2008 Power Repayment Studies that show the need for an increase in annual revenues to meet cost recovery criteria. Such increased revenues are required primarily due to increases in U.S. Army Corps of Engineers' operations and maintenance estimates. The Administrator has developed a proposed Sam Rayburn Dam rate schedule, which is supported by a power repayment study, to recover the required revenues. Beginning January 1, 2009, the proposed rates would increase annual revenues approximately 14.3 percent from $3,456,696 to $3,949,872.

The Administrator, Southwestern Power Administration (Southwestern), has determined that revisions to the Real Power Losses provisions within existing rate schedules P-06 and NFTS-06 are required. The Federal Energy Regulatory Commission (FERC) confirmed and approved such rates on February 27, 2007 in Docket No. EF07-4011-000 (118 FERC ]62,162) for the period from October 1, 2006 through September 30, 2010. Since the proposed rate schedule revisions are limited only to Real Power Losses, the net result of the 2006 Integrated System Power Repayment Studies, which was the basis for the existing rate schedules, will not be altered. Southwestern held several meetings during FY 2008 with customers to discuss the proposed rate schedule revisions and provide opportunity for input in the development of the final rate schedules. As a result of these informal meetings, it was determined that the revised rate schedule provisions can provide cost-savings and operational benefits to Southwestern's transmission customers and are consistent with (FERC) Order No. 888.

Southwestern Power Administration (Southwestern) is re-opening the public comment period on its proposed determination of the Federal and non-Federal hydropower impacts of the White River Minimum Flows project for an additional 45 days. The original notice, issued July 3, 2008, provided a 30-day comment period ending on August 4, 2008 (73 FR 38198). Southwestern is re-opening the comment period until September 18, 2008.

Section 132 of Public Law 109-103 (2005) authorized and directed the Secretary of the Army to implement alternatives BS-3 and NF-7, as described in the White River Minimum Flows Reallocation Study Report, Arkansas and Missouri, dated July 2004. The law states that the Administrator, Southwestern Power Administration (Southwestern), shall determine any impacts on electric energy and capacity generated at Federal Energy Regulatory Commission (FERC) Project No. 2221 caused by the storage reallocation at Bull Shoals Lake. Further, the licensee of Project No. 2221 shall be fully compensated by the Corps of Engineers for those impacts on the basis of the present value of the estimated future lifetime replacement costs of the electrical energy and capacity at the time of implementation of the White River Minimum Flows project. The law also states that losses to the Federal hydropower purpose of the Bull Shoals and Norfork Projects shall be offset by a reduction in the costs allocated to the Federal hydropower purpose. Further, such reduction shall be determined by the Administrator of Southwestern on the basis of the present value of the estimated future lifetime replacement cost of the electrical energy and capacity at the time of implementation of the White River Minimum Flows project. Southwestern's draft determination was published by Federal Register Notice (73 FR 6717) dated February 5, 2008. Written comments were invited through March 6, 2008. All public comments received were considered, and Southwestern's draft determination was revised as necessary to incorporate the public comments. Since there were significant changes to Southwestern's draft determination, due in part to public comments received supporting higher energy values, Southwestern is publishing a proposed determination for public review and comment prior to its final determination. Assuming a January 1, 2011, date of implementation for the White River Minimum Flows project, Southwestern's proposed determination results in a present value for the estimated future lifetime replacement costs of the electrical energy and capacity at FERC Project No. 2221 of $33,935,100. Southwestern's proposed determination results in a present value for the estimated future lifetime replacement costs of the electrical energy and capacity for Federal hydropower of $86,712,100.

Pursuant to Delegation Order Nos. 00-037.00, effective December 6, 2001, and 00-001.00C, effective January 31, 2007, the Deputy Secretary of Energy has approved and placed into effect on an interim basis Rate Order No. SWPA-58, which increases the power rate for the Sam Rayburn Dam (Rayburn) pursuant to the following Sam Rayburn Dam Rate Schedule:

Pursuant to Delegation Order Nos. 00-037.00, effective December 6, 2001, and 00-001.00B, effective July 28, 2005, the Deputy Secretary has approved and placed into effect on an interim basis Rate Order No. SWPA-57, which increases the power rate for the Robert Douglas Willis Hydropower Project (Willis) pursuant to the following Willis Rate Schedule:

The Administrator, Southwestern Power Administration (Southwestern), has prepared Current and Revised 2006 Power Repayment Studies (PRS) that show the need for an increase in annual revenues to meet cost recovery criteria. Such increased revenues are required primarily due to significant increases in U.S. Army Corps of Engineers' generation investment at the project. The Administrator has developed a proposed Robert D. Willis rate schedule, which is supported by a PRS, to recover the required revenues. Beginning January 1, 2007, the proposed rates would increase annual revenues approximately 25.8 percent from $648,096 to $815,580.

Pursuant to Delegation Order Nos. 00-037.00, effective December 6, 2001, and 00-001-00B, effective July 28, 2005, the Deputy Secretary has approved and placed into effect on an interim basis Rate Order No. SWPA-53, which increases the power rates for the Integrated System pursuant to the following Integrated System Rate Schedules: Rate Schedule P-05, Wholesale Rates for Hydro Peaking Power. Rate Schedule NFTS-05, Wholesale Rates for Non-Federal Transmission/Interconnection Facilities Service. Rate Schedule EE-05, Wholesale Rate for Excess Energy. The rate schedules supersede the existing rate schedules shown below: Rate Schedule P-04, Wholesale Rates for Hydro Peaking Power (superseded by P-05). Rate Schedule NFTS-04, Wholesale Rates for Non-Federal Transmission/Interconnection Facilities Service (superseded by NFTS- 05). Rate Schedule EE-04, Wholesale Rate for Excess Energy (superseded by EE-05).

Pursuant to Delegation Order Nos. 00-037.00, effective December 6, 2001, and 00-001.00B, effective July 28, 2005, the Deputy Secretary has approved and placed into effect on an interim basis Rate Order No. SWPA-54, which increases the power rate for the Sam Rayburn Dam Project (Rayburn) pursuant to the following Sam Rayburn Dam Rate Schedule:

Southwestern Area Power Administration published a document in the Federal Register (70 FR 48121) on August 16, 2005, announcing the public review and comment period on proposed rates. This rate proposal will increase annual system revenues approximately 7.3 percent from $124,325,100 to $133,342,029. Inadvertently, the amount of the proposed increase for the purchased power adder rate component ($227,100 or 0.2 percent) was not included in the initial notice.

The Administrator, Southwestern Power Administration (Southwestern), has prepared Current and Revised 2005 Power Repayment Studies that show the need for an increase in annual revenues to meet cost recovery criteria. Such increased revenues are required primarily due to significant increases in expected U.S. Army Corps of Engineers' generation investment and increases in operations and maintenance expenses at the project. The Administrator has developed a proposed Robert D. Willis rate schedule, which is supported by a power repayment study, to recover the required revenues. Beginning January 1, 2006, the proposed rates would increase annual revenues approximately 43.1 percent from $452,952 to $648,096.