Federal Register / Vol. 69, No. 189 / Thursday, September 30, 2004 / Notices 58421

1 16 U.S.C. 824e (2000).

2Midwest Independent Transmission System 

Operator, Inc., et al., 104 FERC ¶ 61,105, order on 

reh’g, 105 FERC ¶ 61,212 (2003).

3Ameren Services Company, et al., 105 FERC 

¶ 61,216 (2003).

documents must be filed by providing 

the original and eight copies to: The 

Secretary, Federal Energy Regulatory 

Commission, 888 First Street, NE., 

Washington, DC 20426. A copy of any 

motion to intervene must also be served 

upon each representative of the 

Applicant specified in the particular 

application. 

o. Agency Comments—Federal, State, 

and local agencies are invited to file 

comments on the described application. 

A copy of the application may be 

obtained by agencies directly from the 

Applicant. If an agency does not file 

comments within the time specified for 

filing comments, it will be presumed to 

have no comments. One copy of an 

agency’s comments must also be sent to 

the Applicant’s representatives.

Magalie R. Salas, 

Secretary.

[FR Doc. E4–2429 Filed 9–29–04; 8:45 am] 

BILLING CODE 6717–01–P

DEPARTMENT OF ENERGY

Federal Energy Regulatory 

Commission 

[Project No. 1971–079—Idaho] 

Idaho Power Company; Notice of 

Designation of Certain Commission 

Personnel as Non-Decisional 

September 23, 2004. 

Commission staff members James 

Hastreiter (Office of Energy Projects 

503–552–2760; 

james.hastreiter@ferc.gov) and Merrill 

Hathaway (Office of General Counsel; 

202–502–8825; 

merrill.hathaway@ferc.gov) are assigned 

to help resolve environmental and other 

issues associated with development of a 

settlement agreement for the Hells 

Canyon Project. 

As ‘‘non-decisional’’ staff, Messrs. 

Hastreiter and Hathaway will not 

participate in an advisory capacity in 

the Commission’s review of any offer of 

settlement or settlement agreement, or 

deliberations concerning the disposition 

of the relicense application. 

Different Commission ‘‘advisory staff’’

are assigned to review any offer of 

settlement or settlement agreement, and 

to process the relicense application, 

including providing advice to the 

Commission with respect to the 

agreement and the application. Nondecisional staff and advisory staff are 

prohibited from communicating with 

one another concerning the settlement 

and the relicense application.

Magalie R. Salas, 

Secretary.

[FR Doc. E4–2427 Filed 9–29–04; 8:45 am] 

BILLING CODE 6717–01–P

DEPARTMENT OF ENERGY

Federal Energy Regulatory 

Commission 

[Docket No. EL04–135–000] 

Order Instituting Section 206 

Proceeding 

Issued September 27, 2004.

Before Commissioners: Pat Wood, III, 

Chairman; Nora Mead Brownell, Joseph T. 

Kelliher, and Suedeen G. Kelly. 

Midwest Independent Transmission 

System Operator, Inc., PJM Interconnection, 

L.L.C., and all transmission owners providing 

access to their transmission facilities under 

Midwest Independent Transmission System 

Operator, Inc. or PJM Interconnection, L.L.C. 

Tariffs and all other public utility 

transmission owners in these regions 

(including the entities identified below):

Alliant Energy Corporate Services, Inc. on 

behalf of: 

Interstate Power and Light Company 

Ameren Services Company on behalf of: 

Union Electric Company and 

Central Illinois Public Service Company 

Central Illinois Light Company 

Aquila, Inc. (formerly UtiliCorp United, Inc.) 

Cinergy Services, Inc. 

Cincinnati Gas & Electric Company 

PSI Energy, Inc. 

Union Light Heat & Power Company 

City Water, Light & Power (Springfield, IL) 

Dairyland Power Cooperative 

FirstEnergy Corporation on behalf of: 

American Transmission Systems, Inc. 

Great River Energy 

GridAmerica LLC 

Illinois Power Company 

Indiana Municipal Power Agency 

Indianapolis Power & Light Company 

International Transmission Company 

Hoosier Energy Rural Electric Cooperative 

Lincoln Electric (Neb.) System 

LG&E Energy Corporation on behalf of: 

Kentucky Utilities Company 

Louisville Gas & Electric Company 

Michigan Electric Transmission Company, 

LLC 

Michigan Public Power Agency 

Minnesota Power, Inc. 

Montana-Dakota Utilities Company 

Northern Indiana Public Service Company 

Northwestern Wisconsin Electric Company 

Otter Tail Power Company 

Southern Illinois Power Cooperative 

Southern Indiana Gas & Electric Cooperative 

Southern Minnesota Municipal Power 

Agency 

Superior Water, Light & Power Company 

Sunflower Electric Power Corporation 

Wabash Valley Power Association, Inc. 

Wolverine Power Supply Cooperative 

Xcel Energy Services, Inc. on behalf of: 

Northern States Power Company 

(Minnesota) 

Northern States Power Company 

(Wisconsin) 

Allegheny Electric Cooperative, Inc. 

Allegheny Power 

American Electric Power Service Corporation 

on behalf of: 

Appalachian Power Company 

Columbus Southern Power Company 

Indiana Michigan Power Company 

Kentucky Power Company 

Kingsport Power Company 

Ohio Power Company 

Wheeling Power Company 

Atlantic City Electric Company 

Baltimore Gas & Electric Company 

Dayton Power and Light Company 

Delmarva Power & Light Company 

Dominion Virginia Power Company 

Exelon Corporation on behalf of: 

Commonwealth Edison Company 

Commonwealth Edison Company of 

Indiana, Inc. 

Jersey Central Power & Light Company 

Metropolitan Edison Company 

Old Dominion Electric Cooperative 

PECO Energy Company 

Pennsylvania Electric Company 

Public Service Electric & Gas Company 

PPL Electric Utilities Corporation 

Potomac Electric Power Company 

Rockland Electric Company 

UGI Utilities, Inc.

1. In this order, we are instituting a 

Federal Power Act section 2061

proceeding to implement a new longterm transmission pricing structure 

intended to eliminate seams in the PJM 

Interconnection, L.L.C. (PJM) and 

Midwest Independent Transmission 

System Operator System, Inc. (Midwest 

ISO) regions, and establish a refund 

effective date of December 1, 2004. This 

order will provide the mechanism by 

which the Commission will implement 

a new pricing structure to replace 

existing through and out rates. This 

order benefits customers by ensuring a 

smooth transition in eliminating seams.

I. Background 

2. In earlier orders in this proceeding, 

the Commission ordered the elimination 

of regional through and out rates 

between PJM and Midwest ISO regions 

effective April 1, 2004,2 and also found 

unjust and unreasonable the through 

and out rates of individual public 

utilities that had not yet become 

members of PJM or the Midwest ISO 

effective April 1, 2004.3 The 

Commission directed compliance filings 

to eliminate the through and out rates 

for new transactions, and allowed twoVerDate jul<14>2003 20:57 Sep 29, 2004 Jkt 203001 PO 00000 Frm 00039 Fmt 4703 Sfmt 4703 E:\FR\FM\30SEN1.SGM 30SEN1
58422 Federal Register / Vol. 69, No. 189 / Thursday, September 30, 2004 / Notices 

4See supra notes 1–2.

5Midwest Independent Transmission System 

Operator, Inc., et al., 105 FERC ¶ 61,288 (2003).

6Midwest Independent Transmission System 

Operator, Inc., et al., 106 FERC ¶ 61,105 (2004).

7Midwest Independent Transmission System 

Operator, Inc., et al., 106 FERC ¶ 63,010 (2004).

8Midwest Independent Transmission System 

Operator, Inc., et al., 106 FERC ¶ 61,106 (2004).

9Midwest Independent Transmission System 

Operator, Inc., et al., 106 FERC ¶ 61,262 (2004) 

(March 19 Order).

10Midwest Independent Transmission System 

Operator, Inc., et al., 108 FERC ¶ 63,034 (2004).

11Midwest Independent Transmission System 

Operator, Inc., et al., 108 FERC ¶ 63,039 (2004).

12March 19 Order, 106 FERC ¶ 61,262 at P 19. 

The Commission also stated that it was ‘‘not 

obligated to adopt any particular long-term 

transmission pricing structure over another.’’ Id. at 

P 19 n.19; accord id. at P 13 n.17.

year transitional lost revenue recovery 

mechanisms, so-called Seams 

Elimination Charge/Cost Adjustments/

Assignments (SECAs), to be put in place 

effective April 1, 2004.4 On December 

17, 2003, the Commission clarified that 

the through and out rates were 

eliminated for reservations pursuant to 

requests made on or after November 17, 

2003, for service commencing on or 

after April 1, 2004.5

3. Subsequently, the Commission 

provided time for the parties to 

participate in a stakeholder process to 

develop these transitional lost revenue 

recovery mechanisms. On February 6, 

2004, noting that it had already allowed 

the parties some additional time for a 

stakeholder process, the Commission 

also established settlement judge 

procedures to further aid the parties in 

developing these transitional lost 

revenue recovery mechanisms.6

4. On February 4, 2004, the Chief 

Judge filed a report with the 

Commission on the parties’ progress in 

the ongoing discussions, along with 

their agreement that the date for 

elimination of the through and out rates 

should be extended from April 1, 2004 

to May 1, 2004, (but with the transition 

period continuing to run from April 1, 

2004, i.e., effectively shortening the 

transition period).7 On February 6, 

2004, the Commission accepted this 

agreement to extend the date for 

elimination of through and out rates to 

May 1, 2004, and so allowed the parties 

additional time to resolve matters 

consensually.8

5. On March 5, 2004, the Chief Judge 

filed a report and an agreement among 

the parties, noting that the parties had 

participated in fourteen full days of 

formal settlement negotiations (often 

involving over 100 participants), and 

that there had been numerous meetings 

involving individual participants or 

groups of participants. This resulted in 

an agreement, supported or joined in by 

84 parties (some representing more than 

one utility) that was accepted by the 

Commission.9

6. This agreement established the 

going-forward principles and 

procedures that, would shorten the 

transition to the elimination of the 

through and out rates by seventeen 

months. This agreement retained the 

through and out rates until December 1, 

2004, at which time they would be 

eliminated entirely. The agreement also 

provided for negotiations to continue to 

develop a long-term transmission 

pricing structure that eliminates seams 

in the PJM and Midwest ISO regions. 

The agreement provided that either one 

proposal or, if the parties were unable 

to agree to a single proposal, multiple 

proposals would be filed with the 

Commission on October 1, 2004, with a 

December 1, 2004 effective date. 

7. On September 3, 2004, the Chief 

Judge issued a report 10 indicating that 

after further settlement and stakeholder 

conferences there was an impasse 

between two major groups of parties. 

The Chief Judge stated that it appeared 

there will be two competing proposals 

filed with the Commission on October 1, 

2004. The Chief Judge added that 

additional meetings and conferences are 

planned in an attempt to come to further 

agreement. On September 16, 2004, the 

Chief Judge issued a further report 11

indicating that a further settlement 

conference had been held. He explained 

that, while the parties’ discussions have 

successfully narrowed the issues and 

successfully narrowed the range of 

proposals to two, further discussions 

would not be productive. Accordingly, 

he terminated the settlement judge 

procedures.

II. Discussion 

8. In its March 19 Order, which 

accepted the parties’ agreement on 

going-forward principles and 

procedures, the Commission stated that 

‘‘in no event will through and out rates 

remain in place beyond December 1, 

2004 irrespective of whether there is an 

agreed-upon long-term transmission 

pricing structure.’’ In addition, the 

Commission ‘‘obligate[d] itself to choose 

a replacement and to put that 

replacement in place on December 1, 

2004 (subject to refund, if 

appropriate).’’12

9. As noted above, the Chief Judge has 

reported that two alternative proposals 

for a long-term transmission pricing 

structure will likely be filed. However, 

the Commission anticipates that 

ultimately it will adopt a single longterm transmission pricing structure 

across the entire PJM and Midwest ISO 

regions. Consequently, in order to allow 

the Commission to adopt a single longterm transmission pricing structure, the 

Commission is instituting this section 

206 proceeding to establish a just and 

reasonable long-term transmission 

pricing structure and is establishing a 

refund effective date of December 1, 

2004. Doing so will ensure that the 

Commission has adequate authority to 

implement a long-term transmission 

pricing structure for all parties across 

the PJM and Midwest ISO regions. 

Following the filing of the two 

alternative proposals and comments on 

the proposals, the Commission will take 

further action in this proceeding. 

10. In cases where, as here, the 

Commission institutes a section 206 

investigation on its own motion, section 

206(b) requires that the Commission 

establish a refund effective date that is 

no earlier than 60 days after publication 

of notice of the Commission’s 

investigation in the Federal Register, 

and no later than five months 

subsequent to the expiration of the 60 

day period. In order to give maximum 

protection to customers, and consistent 

with our previous commitments on this 

matter, we will establish a refund 

effective date in Docket No. EL04–135–

000 of December 1, 2004, the previously 

established effective date of the longterm transmission pricing structure. 

11. Section 206 also requires that, if 

no final decision is rendered by the 

refund effective date or by the 

conclusion of the 180-day period 

commencing upon the initiation of a 

proceeding pursuant to section 206, 

whichever is earlier, the Commission 

shall state the reasons why it failed to 

do so and shall state its best estimate of 

when it reasonably expects to make 

such a decision. In the circumstances of 

this proceeding, given that the parties’

alternative proposals have not yet been 

filed, we cannot resolve this matter at 

this time. However, we estimate that we 

will be able to issue our initial order on 

these filings and in this proceeding 

prior to December 1, 2004, and, if we are 

not able to resolve this matter in that 

initial order, we estimate that we will be 

able to resolve this matter by July 31, 

2005. 

The Commission Orders 

(A) Pursuant to the authority 

contained in and subject to the 

jurisdiction conferred upon the Federal 

Energy Regulatory Commission by 

section 402 of the Department of Energy 

Organization Act and by the Federal 

Power Act, particularly section 206 

thereof, and pursuant to the 

Commission’s Rules of Practice and 

Federal Register / Vol. 69, No. 189 / Thursday, September 30, 2004 / Notices 58423

Procedure and the regulations under the 

Federal Power Act (18 CFR chapter I), 

an investigation is hereby instituted in 

Docket No. EL04–135–000 concerning 

the justness and reasonableness of a 

long-term transmission pricing structure 

for the PJM and Midwest ISO regions 

that will be the successor to through and 

out rates, as discussed in the body of 

this order. 

(B) The Secretary shall promptly 

publish a copy of the Commission’s 

order in Docket No. EL04–135–000 in 

the Federal Register. 

(C) The refund effective date in 

Docket No. EL04–135–000, established 

pursuant to section 206(b) of the Federal 

Power Act, will be December 1, 2004. 

(D) Notices of intervention and 

motions to intervene in Docket No. 

EL04–135–000 are due on or before 

October 15, 2004.

By the Commission. 

Magalie R. Salas, 

Secretary.

[FR Doc. 04–22016 Filed 9–29–04; 8:45 am] 

BILLING CODE 6717–01–P

DEPARTMENT OF ENERGY

Federal Energy Regulatory 

Commission 

[Docket No. CP04–412–000] 

Northern Natural Gas Company; Notice 

of Request Under Blanket 

Authorization 

September 23, 2004. 

Take notice that on September 17, 

2004, Northern Natural Gas Company 

(Northern), 1111 South 103rd Street, 

Omaha, Nebraska 68103–0330, filed in 

Docket No. CP04–412–000, a request 

pursuant to its blanket certificate issued 

September 1, 1982, under Docket No. 

CP82–401–000, for authority under 

Section 157.208 of the Commission’s 

regulations (18 CFR 157.208) to reduce 

the maximum allowable operating 

pressure (MAOP) of the 16-inch 

diameter Omaha 2nd branchline, 

located in Sarpy and Douglas Counties, 

Nebraska. 

Northern proposes to reduce the 

MAOP of the 16-inch diameter Omaha 

2nd branchline between milepost 

15.448 and milepost 20.700 from 537 

psig to 360 psig. Northern states that the 

proposed reduction of the MAOP will 

still allow Northern to meet its current 

contractual firm obligations. Northern 

asserts that no construction activities 

will be required to facilitate the MAOP 

reduction. 

Any questions regarding this 

application should be directed to 

Michael T. Loeffler, Director, 

Certificates for Northern Natural Gas 

Company, 1111 South 103rd Street, 

Omaha, Nebraska 68124, at (402) 398–

7103 or Bret Fritch, Senior Regulatory 

Analyst, at (402) 398–7140. 

This filing is available for review at 

the Commission or may be viewed on 

the Commission’s Web site at http://

www.ferc.gov using the ‘‘eLibrary’’ link. 

Enter the docket number excluding the 

last three digits in the docket number 

field to access the document. For 

assistance, please contact FERC Online 

Support at 

FERCOnlineSupport@ferc.gov or call 

toll-free at (866) 208–3676, or for TTY, 

contact (202) 502–8659. Protests, 

comments and interventions may be 

filed electronically via the Internet in 

lieu of paper; see, 18 CFR 

385.2001(a)(1)(iii) and the instructions 

on the Commission’s Web site under the 

‘‘e-Filing’’ link. The Commission 

strongly encourages interveners to file 

electronically. 

Any person or the Commission’s staff 

may, within 45 days after issuance of 

the instant notice by the Commission, 

file pursuant to Rule 214 of the 

Commission’s Procedural Rules (18 CFR 

385.214) a motion to intervene or notice 

of intervention and pursuant to Section 

157.205 of the Regulations under the 

Natural Gas Act (18 CFR 157.205) a 

protest to the request. If no protest is 

filed within the time allowed therefore, 

the proposed activity shall be deemed to 

be authorized effective the day after the 

time allowed for filing a protest. If a 

protest is filed and not withdrawn 

within 30 days after the time allowed 

for filing a protest, the instant request 

shall be treated as an application for 

authorization pursuant to Section 7 of 

the Natural Gas Act.

Magalie R. Salas, 

Secretary.

[FR Doc. E4–2421 Filed 9–29–04; 8:45 am] 

BILLING CODE 6717–01–P

DEPARTMENT OF ENERGY

Federal Energy Regulatory 

Commission 

[Docket No. RP04–565–001] 

Northwest Pipeline Corporation; Notice 

of Proposed Changes in FERC Gas 

Tariff 

September 23, 2004. 

Take notice that on September 15, 

2004, Northwest Pipeline Corporation 

(Northwest) supplemented its August 

31, 2004, filing in Docket No. RP04–

565–000 and tendered the following pro 

forma tariff sheets for potential 

inclusion in its FERC Gas Tariff.

Third Revised Volume No. 1 

Pro Forma Sheet No. 14 

Pro Forma Sheet No. 231–C 

Original Volume No. 2 

Pro Forma Sheet No. 2.1

Northwest states that the purpose of 

this filing is to offer an alternative to the 

increased Evergreen Expansion 

incremental fuel surcharge included in 

its August 31, 2004, filing in Docket No. 

RP04–565–000. 

Northwest states that a copy of this 

filing has been served upon all parties 

on the Commission’s Official Service 

List in this proceeding. 

Any person desiring to protest this 

filing must file in accordance with Rule 

211 of the Commission’s Rules of 

Practice and Procedure (18 CFR 

385.211). Protests to this filing will be 

considered by the Commission in 

determining the appropriate action to be 

taken, but will not serve to make 

protestants parties to the proceeding. 

Such protests must be filed in 

accordance with the provisions of 

section 154.210 of the Commission’s 

regulations (18 CFR 154.210). Anyone 

filing a protest must serve a copy of that 

document on all the parties to the 

proceeding. 

The Commission encourages 

electronic submission of protests in lieu 

of paper using the ‘‘e-Filing’’ link at 

http://www.ferc.gov. Persons unable to 

file electronically should submit an 

original and 14 copies of the protest to 

the Federal Energy Regulatory 

Commission, 888 First Street, NE., 

Washington, DC 20426. 

This filing is accessible on-line at 

http://www.ferc.gov, using the 

‘‘eLibrary’’ link and is available for 

review in the Commission’s Public 

Reference Room in Washington, DC. 

There is an ‘‘eSubscription’’ link on the 

Web site that enables subscribers to 

receive e-mail notification when a 

document is added to a subscribed 

docket(s). For assistance with any FERC 

Online service, please e-mail 

FERCOnlineSupport@ferc.gov, or call 

(866) 208–3676 (toll free). For TTY, call 

(202) 502–8659.

Magalie R. Salas, 

Secretary.

[FR Doc. E4–2435 Filed 9–29–04; 8:45 am] 

BILLING CODE 6717–01–P