Federal Register / Vol. 75, No. 222 / Thursday, November 18, 2010 / Notices 70751 

Supplemental Reserve Service; Variable 

Energy Resource Balancing Service; and 

Dispatchable Energy Resource Balancing 

Service. 

D. Overview of Studies 

The initial rate proposal for power 

rates and ancillary service and control 

area service rates is explained and 

documented in the following studies. 

1. Power Rates Study 

The Power Rates Study (formerly the 

Wholesale Power Rate Development 

Study) explains and documents the 

development of power rates and billing 

determinants for BPA’s power products 

and services. The new Priority Firm rate 

design, as set forth in the Tiered Rate 

Methodology, is implemented with this 

proposal for the first time. The TRM 

provides for a two-tiered PF rate design 

applicable to firm requirements power 

service for Public customers that signed 

a CHWM contract providing for tiered 

rates. The TRM also addresses other rate 

design changes, particularly for power 

sold at Tier 1 rates. As explained in 

section IV.A. of this notice, the Power 

Rates Study reflects the assumption of a 

specific REP settlement outcome to 

model the rates. The results of the study 

are reflected in the proposed power rate 

schedules. 

2. Power Loads and Resources Study 

The Power Loads and Resources 

Study explains and documents the 

compilation of the load and resource 

data and forecasts necessary for 

developing BPA’s wholesale power 

rates. The Study has three major 

interrelated components: The Federal 

system load forecast; The Federal 

system resource forecast; and the 

Federal system loads and resources 

balance. 

3. Power Revenue Requirement Study 

The Power Revenue Requirement 

Study explains and documents the level 

of revenues from power rates necessary 

to recover, in accordance with sound 

business principles, the FCRPS costs 

associated with the production, 

acquisition, marketing, and 

conservation of electric power. Cost 

estimates in the Power Revenue 

Requirement Study are based on the 

results of the IPR, as presented in the 

Final Close-Out Letter dated October 27, 

2010. The repayment studies reflect 

actual and projected repayment 

obligations and transactions related to 

BPA’s Debt Optimization program. All 

new capital investments are assumed to 

be financed from debt or appropriations. 

The adequacy of projected revenues to 

recover the rate test period revenue 

requirement and to recover the Federal 

investment over the prescribed 

repayment period is tested and 

demonstrated for the generation 

function. 

4. Power Risk and Market Price Study 

The Power Risk and Market Price 

Study has three major components: 

Quantification of the risks accounted for 

in setting power rates; the electricity 

market price forecast used in setting 

power rates; and the set of risk 

mitigation measures to include in rates 

that ensure that power rates meet the 

established TPP. The TPP is a measure 

of the probability that BPA will make its 

Treasury payments on time and in full 

during the rate period. If the TPP is 

below BPA’s two-year 95 percent 

standard, a combination of risk 

mitigation tools is proposed to meet the 

TPP standard. 

The electricity market price forecast 

portion of the study explains and 

documents forecasts of the variable cost 

of the marginal resource for transactions 

in the wholesale energy market. The 

specific market used in this analysis is 

the Mid-Columbia trading hub in the 

State of Washington, although this 

forecast is influenced by conditions in 

other regions within the Western 

Interconnection. The Power Risk and 

Market Price Study also explains and 

documents the natural gas price forecast 

used in setting rates. 

5. Generation Inputs Study 

The Generation Inputs Study includes 

the study and documentation for 

generation inputs costs and other interbusiness line costs. The study also 

includes the development and design of 

the proposed ACS–12 Ancillary and 

Control Area Services rate schedule, 

which had been issued in a separate 

study starting with the 2010 rate 

proceeding. The forecasts for balancing 

reserve capacity to provide regulation 

and frequency response, variable energy 

resource balancing service, dispatchable 

energy resource balancing service, 

operating reserve, and load following 

are explained and documented in the 

Generation Inputs Study. The Study 

explains and documents the embedded 

and variable cost methodologies for 

these balancing reserve capacity 

obligations and the resulting revenue 

credits reflected in the power rates. The 

proposed design for rates under the 

ACS–12 rate schedule is also described. 

6. Related Studies in the REP–12 

Proceeding 

The following studies will be 

described in the REP–12 notice in the 

Federal Register and will be included as 

part of the initial proposal in that 

proceeding. 

REP Settlement Evaluation and 

Analysis Study. 

Section 7(b)(2) Rate Test Study. 

Lookback Recovery and Return. 

Part V—Proposed 2012 Rate Schedules 

BPA’s proposed 2012 Power Rate 

Schedules are a part of this notice and 

are available for viewing and 

downloading on BPA’s Web site at 

http://www.bpa.gov/corporate/ratecase/ 

2012/. Copies of the proposed rate 

schedules also are available for viewing 

in BPA’s Public Reference Room at the 

BPA Headquarters, 1st Floor, 905 NE. 

11th Avenue, Portland, OR 97232. 

Issued this 12th day of November, 2010. 

David J. Armstrong, 

Acting Deputy Administrator. 

[FR Doc. 2010–29090 Filed 11–17–10; 8:45 am] 

BILLING CODE 6450–01–P 

DEPARTMENT OF ENERGY 

Federal Energy Regulatory 

Commission 

[Project No. 12690–003] 

Public Utility District No. 1 of 

Snohomish County, WA; Notice of 

Teleconference 

November 10, 2010. 

a. Date and Time of Meeting: Monday, 

November 15, 2010 starting at 12 p.m. 

and ending by 2 p.m. (Eastern Standard 

Time). 

b. FERC Contact: David Turner, (202) 

502–6091 or david.turner@ferc.gov. 

c. Purpose of Meeting: Commission 

staff will meet with the Snohomish 

County Public Utility District (District) 

to clarify the Commission’s August 6, 

2010, request for additional information 

on the District’s draft license 

application for the Admiralty Inlet Pilot 

Tidal Project, which would be located 

in the Puget Sound, in Washington. 

d. If you would like to attend the 

meeting or have any questions, contact 

David Turner via e-mail by November 

11, 2010. 

Kimberly D. Bose, 

Secretary. 

[FR Doc. 2010–29060 Filed 11–17–10; 8:45 am] 

BILLING CODE 6717–01–P 

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