Current through Register Vol. 18, September 20, 2024
(1) A person
who wishes to obtain a certification of the qualified portion of an alternating
current transmission line pursuant to
15-6-157(1)(q), MCA,
shall file an application on a form provided by the department pursuant to ARM
17.80.201. The application must contain
the following information:
(a) the name and
address of the applicant;
(b) a
description of the line for which certification is sought, including its associated
equipment and structures, including interconnections;
(i) for lines still under construction at the end
of a tax year, this would be a general description of the complete line, with a more
detailed description of that portion for which certification is sought;
(c) a listing of all wage rates paid
for construction of the transmission line in Montana, including its associated
equipment and structures, including interconnections;
(d) the date construction of the transmission
line, as defined in
15-24-3102, MCA, was commenced in
Montana;
(e) the total transfer
capability of the transmission line established through the Western Electricity
Coordinating Council (WECC) path rating process, or for transmission lines which are
not covered by the WECC path rating process, by the capability determined by the
balancing authority under whose jurisdiction the line is;
(f) a list of the Montana electricity generating
facilities that are, or will be, class fourteen property under
15-6-157, MCA, for which a firm
contract for transmission service, available throughout each year of the contract,
has been obtained, including:
(i) the location, or
proposed location, of each generating facility;
(ii) the period for which each facility has
secured firm contract for transmission service throughout each year;
(iii) documentation of the amount of firm
transmission on the line that has been secured for each generating facility
throughout each year. If this amount is not the same throughout the year, the
applicant shall describe the different amounts and the length of periods during
which those amounts apply; and
(iv)
name, address, and telephone number of contact person for each facility.
(2) The qualified portion of
a transmission line will be based on the contracts for firm transmission in place at
the time of application for the initial ten years of commercial operation, according
to the following criteria:
(a) The qualified
portion of a line for which the amount of rated transfer capacity under firm
contract for electricity generated at class fourteen generating facilities is
constant throughout the year is that amount divided by the total transfer capability
of that line established through the applicable path rating process conducted either
by WECC or the balancing authority;
(b)
The qualified portion of a line for which the amount of rated transfer capacity
under firm contract for electricity generated at class fourteen generating
facilities varies throughout the year is the weighted average determined according
to the following formula: (amount for first period x number of days in period +
amount for next period x number of days in period...)/365;
(c) For deliveries to load on the line using firm
transmission contracts for a blend of power from multiple generating facilities, the
amount that is deemed to come from class fourteen facilities is the percentage of a
delivery equaling the percentage of the annual energy portfolio of the commodity
provider that is generated from class fourteen facilities located in
Montana;
(d) For lines with a mix of
contracts of different length, the qualified portion is the average rated transfer
capacity under firm contract determined by the following formula: (annual amount for
first contract x contract length during averaging period + annual amount of next
contract x contract length during averaging period...) /length of averaging period.
The averaging period for the initial certification will be the ten years following
start of commercial operation.
(3) In making its certification determination, the
department shall use the application materials and also may use any other credible
information available to the department.
(4) Ten years after a transmission line becomes
commercially operational, the taxpayer shall submit to the department an update of
the information required in (1)(e) and (f). Based on this information and any other
credible information available to the department, the department shall determine the
current qualified portion of the transmission line and reissue a certificate at that
percentage.
(5) If the transmission line
no longer has contracts for firm transmission of electricity operated at class
fourteen facilities, the department shall revoke the certification.
