Federal Register / Vol. 89, No. 224 / Wednesday, November 20, 2024 / Notices 91731 

1Order Confirming and Approving Rate Schedule 

on a Final Basis, FERC Docket No. EF23–2–000 

(2023). 

2 50 FR 37835 (Sept. 18, 1985) and 84 FR 5347 

(Feb. 21, 2019). 

Rate Schedule L–M4 

(Supersedes Rate Schedule L–M3 

Effective January 1, 2023) 

United States Department of Energy 

Western Area Power Administration 

Rocky Mountain Region 

Loveland Area Projects 

Sale of Surplus Products 

(Approved Under Rate Order No. 

WAPA–212) 

Effective 

The first day of the first full billing 

period beginning on or after January 1, 

2025, and extending through December 

31, 2029, or until superseded by another 

rate schedule, whichever occurs earlier. 

Applicable 

This rate schedule applies to 

Loveland Area Projects (LAP) marketing 

and is applicable to the sale of the 

following LAP surplus energy and 

capacity products: energy, frequency 

response, regulation, and reserves. If 

any of the above LAP surplus products 

are available, LAP can make the 

product(s) available for sale, providing 

entities enter into separate agreement(s) 

with LAP Marketing Office which will 

specify the terms of sale(s). 

Formula Rate 

The charge for each product will be 

determined at the time of the sale based 

on market rates, plus administrative 

costs. The customer will be responsible 

for acquiring transmission service 

necessary to deliver the product(s), for 

which a separate charge may be 

incurred. 

[FR Doc. 2024–26932 Filed 11–19–24; 8:45 am] 

BILLING CODE 6450–01–P 

DEPARTMENT OF ENERGY 

Western Area Power Administration 

Pick-Sloan Missouri Basin Program— 

Eastern Division—Rate Order No. 

WAPA–213 

AGENCY: Western Area Power 

Administration, DOE. 

ACTION: Notice of rate order. 

SUMMARY: The formula rates for the 

Upper Great Plains (UGP) region’s PickSloan Missouri Basin Program (P– 

SMBP)—Eastern Division (ED) firm 

power service, firm peaking power 

service, and sale of surplus products 

have been confirmed, approved, and 

placed into effect on an interim basis 

(Provisional Formula Rates). These new 

formula rates replace the existing 

formula rates for these services under 

Rate Schedules P–SED–F14, Firm Power 

Service; P–SED–FP14, Firm Peaking 

Power Service; and P–SED–M2, Sale of 

Surplus Products, which expire on 

December 31, 2027. The P–SMBP—ED 

firm power service composite rate is 

increasing over a 2-year period with a 

7.5 percent increase on January 1, 2025, 

and an additional 6.2 percent increase 

on January 1, 2026. There are no 

changes to the formula rate for sale of 

surplus products. 

DATES: The Provisional Formula Rates 

under Rate Schedules P–SED–F15, Firm 

Power Service; P–SED–FP15, Firm 

Peaking Power Service; and Rate 

Schedule P–SED–M3, Sale of Surplus 

Products, are effective on the first day 

of the first full billing period beginning 

on or after January 1, 2025, and will 

remain in effect through December 31, 

2029, pending confirmation and 

approval by the Federal Energy 

Regulatory Commission (FERC) on a 

final basis or until superseded. 

FOR FURTHER INFORMATION CONTACT: 

Lloyd Linke, Regional Manager, Upper 

Great Plains Region, Western Area 

Power Administration, 2900 4th Avenue 

North, 6th Floor, Billings, MT 59101– 

1266, or email: ugpfirmrate@wapa.gov, 

or Linda Cady-Hoffman, Rates Manager, 

Upper Great Plains Region, Western 

Area Power Administration, (406) 255– 

2920, or email: cady@wapa.gov or 

ugpfirmrate@wapa.gov. 

SUPPLEMENTARY INFORMATION: On June 

29, 2023, FERC confirmed and approved 

Formula Rate Schedules P–SED–F14, P– 

SED–FP14, and P–SED–M2, under Rate 

Order No. WAPA–203, on a final basis 

through December 31, 2027.1 Western 

Area Power Administration (WAPA) 

published a Federal Register notice 

(Proposed FRN) on June 28, 2024 (89 FR 

53989), proposing adjustments to 

increase the base component and 

decrease the drought adder component 

of the P–SMBP—ED firm power service 

and firm peaking power service rate 

using a two-step rate adjustment where 

roughly 50 percent of the total increase 

is being applied in step 1 (January 2025) 

and the remaining 50 percent is being 

applied in step 2 (January 2026), and to 

put new 5-year rate schedules in place. 

The Proposed FRN also initiated a 60- 

day public consultation and comment 

period and set forth the dates and 

locations of the virtual public 

information and public comment 

forums. 

Legal Authority 

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–S3–2024, 

effective August 30, 2024, 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. This rate action 

is issued under Redelegation Order No. 

S3–DEL–WAPA1–2023 and Department 

of Energy procedures for public 

participation in rate adjustments set 

forth at 10 CFR part 903.2

Following review of UGP’s proposal, 

Rate Order No. WAPA–213, which 

provides the formula rates for the P– 

SMBP—ED firm power service, firm 

peaking power service, and sale of 

surplus products, is hereby confirmed, 

approved, and placed into effect on an 

interim basis. WAPA will submit Rate 

Order No. WAPA–213 to FERC for 

confirmation and approval on a final 

basis. 

Department of Energy 

Administrator, Western Area Power 

Administration 

In the Matter of: Western Area Power 

Administration, Upper Great Plains 

Region, Rate Adjustment for the PickSloan Missouri Basin Program—Eastern 

Division, Firm Power Service, Firm 

Peaking Power Service, and Sale of 

Surplus Products Formula Rates, Rate 

Order No. WAPA–213 

Order Confirming, Approving, and 

Placing The Formula Rates for the PickSloan Missouri Basin Program— 

Eastern Division into Effect on an 

Interim Basis 

The formula rates in Rate Order No. 

WAPA–213 are established following 

section 302 of the Department of Energy 


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91732 Federal Register / Vol. 89, No. 224 / Wednesday, November 20, 2024 / Notices 

1This 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 section 

5 of the Flood Control Act of 1944 (16 U.S.C. 825s); 

and other acts that specifically apply to the projects 

involved. 

2 50 FR 37835 (Sept. 18, 1985) and 84 FR 5347 

(Feb. 21, 2019). 

(DOE) Organization Act (42 U.S.C. 

7152).1

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 Western Area 

Power Administration (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 the Federal 

Energy Regulatory Commission (FERC). 

By Delegation Order No. S1–DEL–S3– 

2024, effective August 30, 2024, 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. This rate 

action is issued under Redelegation 

Order No. S3–DEL–WAPA1–2023 and 

DOE procedures for public participation 

in rate adjustments set forth at 10 CFR 

part 903.2

Acronyms, Terms, and Definitions 

As used in this Rate Order, the 

following acronyms, terms, and 

definitions apply: 

Base: A component of the firm power 

and firm peaking power rate design that 

is a fixed revenue requirement that 

includes operation and maintenance 

expenses (O&M), investments and 

replacements, interest on investments 

and replacements, normal timing power 

purchases, and transmission costs. 

Capacity: The electric capability of a 

generator, transformer, transmission 

circuit, or other equipment. It is 

expressed in kilowatts (kW) or 

megawatts (MW). 

Composite Rate: The Power 

Repayment Study (PRS) rate for 

commercial firm power, which is the 

total annual revenue requirement for 

capacity and energy divided by the total 

annual energy sales. It is expressed in 

mills per kilowatt-hour (mills/kWh) and 

used only for comparison purposes. 

Corps of Engineers Annual Operating 

Plan (AOP): The United States Army 

Corps of Engineers (USACE) water 

management guidelines designed to 

meet the reservoir regulation objectives. 

Customer: An entity with a contract 

that is receiving Pick-Sloan Missouri 

Basin Program—Eastern Division (P– 

SMBP—ED) firm power service from 

WAPA. 

Customer Rate Brochure: A document 

prepared for public distribution 

explaining the rationale and background 

for the information contained in the 

Proposed FRN and in this rate order. 

Deficit(s): Deferred or unrecovered 

annual and/or interest expenses. 

Demand: The rate at which electric 

energy is delivered to or by a system or 

part of a system, generally expressed in 

kilowatts (kW) or megawatts (MW), at a 

given instant or averaged over any 

designated interval of time. 

Drought Adder: A component of the 

firm power and firm peaking power rate 

design that is a formula-based revenue 

requirement that includes future power 

purchases above normal timing power 

purchases, previous purchase power 

drought-related Deficits, and interest on 

the purchase power drought-related 

Deficits. 

Energy: Measured in terms of the 

work it is capable of doing over a period 

of time. Electric energy is expressed in 

kilowatt-hours (kWh) or megawatt-hours 

(MWh). 

Energy Charge: The charge under the 

rate schedule for energy. It is expressed 

in mills per kilowatt-hour and applied 

to each kilowatt-hour delivered to each 

Customer. 

Firm: Power intended to be available 

at all times during the period covered by 

a guaranteed commitment to deliver, 

even under adverse conditions. 

FRN: Federal Register Notice—a 

document published in the Federal 

Register in order for WAPA to provide 

information of public interest. 

FY: WAPA’s fiscal year; October 1 to 

September 30. 

kW: Kilowatt—the electrical unit of 

capacity that equals 1,000 watts. 

kWh: Kilowatt-hour—the electrical 

unit of energy that equals 1,000 watts in 

1 hour. 

kW-month: Kilowatt-month—the 

electrical unit of the monthly amount of 

capacity. 

mills/kWh: Mills per kilowatt-hour— 

the unit of charge for energy (equal to 

one tenth of a cent or one thousandth 

of a dollar). 

Microsoft Teams: Microsoft Teams is 

an online secure invite-only meeting 

platform used by WAPA. The general 

website is www.microsoft.com/en-us/ 

microsoft-teams/group-chat-software. 

NEPA: National Environmental Policy 

Act of 1969, as amended. 

Non-timing Power Purchases: Power 

purchases related to drought conditions, 

not related to operational constraints. 

Normal Timing Power Purchases: 

Power purchases related to operational 

constraints (e.g., management of 

endangered species habitat, water 

quality, navigation, balancing authority 

purposes, market events, etc.), not 

associated with drought conditions. 

O&M: Operation and maintenance 

expenses. 

Order RA 6120.2: DOE Order 

outlining Power Marketing 

Administration financial reporting and 

rate-making procedures. 

Power: Capacity and energy. 

Power Factor: The ratio of real to 

apparent power at any given point and 

time in an electrical circuit. Generally, 

it is expressed as a percentage. 

Power Repayment Study (PRS): 

Defined in Order RA 6120.2 as a study 

portraying the annual repayment of 

power production and transmission 

costs of a power system through the 

application of revenues over the 

repayment period of the power system. 

The study shows, among other items, 

estimated revenues and expenses, year 

by year, over the remainder of the power 

system’s repayment period (based upon 

conditions prevailing over the cost 

evaluation period), the estimated 

amount of Federal investment amortized 

during each year, and the total 

estimated amount of Federal investment 

remaining to be amortized. 

Preference: The provisions of 

Reclamation Law that require WAPA to 

first make Federal Power available to 

certain entities. For example, section 

9(c) of the Reclamation Project Act of 

1939 (43 U.S.C. 485h(c)) states that 

preference in the sale of Federal Power 

shall be given to municipalities and 

other public corporations or agencies 

and also to cooperatives and other 

nonprofit organizations financed in 

whole or in part by loans made under 

the Rural Electrification Act of 1936. 

Provisional Formula Rates: Formula 

rates confirmed, approved, and placed 

into effect on an interim basis by the 

Secretary of Energy or his/her designee. 

Rate-setting PRS: The PRS used for 

the rate adjustment. 

Regions: WAPA’s Rocky Mountain 

(RM) region, WAPA’s Upper Great 

Plains (UGP) region. 

Revenue Requirement: The revenue 

required by the PRS to recover annual 

expenses (such as O&M, purchase 

power, transmission service, interest, 


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Federal Register / Vol. 89, No. 224 / Wednesday, November 20, 2024 / Notices 91733 

and deferred expenses) and repay 

Federal investments and replacements 

and other assigned costs. 

Effective Date 

The Provisional Formula Rate 

Schedules P–SED–F15, Firm Power 

Service; P–SED–FP15, Firm Peaking 

Power Service; and P–SED–M3, Sale of 

Surplus Products, will take effect on the 

first day of the first full billing period 

beginning on or after January 1, 2025, 

and will remain in effect through 

December 31, 2029, pending approval 

by FERC on a final basis or until 

superseded. 

Public Notice and Comment 

UGP followed the Procedures for 

Public Participation in Power and 

Transmission Rate Adjustments and 

Extensions, 10 CFR part 903, in 

developing these formula rates. UGP 

took the following steps to involve 

interested parties in the rate process: 

1. On June 28, 2024, a Federal 

Register notice (89 FR 53989) (Proposed 

FRN) announced the proposed formula 

rates and launched the 60-day public 

consultation and comment period. 

2. On July 2, 2024, UGP notified 

Preference Customers and interested 

parties of the proposed rates and 

provided a copy of the published 

Proposed FRN. 

3. On August 7, 2024, UGP held a 

public information forum via Microsoft 

Teams. UGP’s representatives explained 

the proposed formula rates, answered 

questions, and gave notice that more 

information was available in the 

Customer Rate Brochure. 

4. On August 7, 2024, UGP held a 

public comment forum via Microsoft 

Teams to provide an opportunity for 

Customers and other interested parties 

to comment for the record. 

5. UGP established a public website to 

post information about the rate process. 

The website is located at: 

www.wapa.gov/about-wapa/regions/ 

ugp/ugp-rates/2025-firm-rateadjustment. 

6. During the 60-day consultation and 

comment period, which ended on 

August 27, 2024, UGP received three 

oral comment submissions and 20 

written comment letters. The comments 

and UGP’s responses are addressed in 

the ‘‘Comments’’ section. All comments 

have been considered in the preparation 

of this Rate Order. 

Oral comments were received from 

the following organizations: 

City of Orange City, Iowa (member 

utility) 

Mid-West Electric Consumers 

Association, Colorado (customer 

association) 

Missouri River Energy Services, South 

Dakota (action agency) 

Written comments were received from 

the following organizations: 

East River Electric Power Cooperative, 

South Dakota (member utility) 

Mid-West Electric Consumers 

Association, Colorado (customer 

association) 

Missouri River Energy Services, South 

Dakota (action agency) 

City of Alton, Iowa (member utility) 

City of Benson, Minnesota (member 

utility) 

City of Denison, Iowa (member utility) 

City of Detroit Lakes, Minnesota 

(member utility) 

City of Hawarden, Iowa (member utility) 

City of Lake Park, Iowa (member utility) 

City of Madison, Minnesota (member 

utility) 

City of Orange City, Iowa (member 

utility) 

City of Rock Rapids, Iowa (member 

utility) 

City of Sauk Centre, Minnesota (member 

utility) 

City of Sioux Center, Iowa (member 

utility) 

City of Valley City, North Dakota 

(member utility) 

City of Vermillion, South Dakota 

(member utility) 

City of Wadena, Minnesota (member 

utility) 

City of Watertown, South Dakota 

(member utility) 

City of Willmar, Minnesota (member 

utility) 

City of Worthington, Minnesota 

(member utility) 

Power Repayment Study—Firm Power 

Service Rate Discussion 

A PRS is prepared each FY to 

determine if revenues will be sufficient 

to repay, within the required time, all 

costs assigned to the Pick-Sloan 

Missouri Basin Program (P–SMBP). 

Repayment criteria are based on 

applicable laws and legislation as well 

as policies including Order RA 6120.2. 

To meet the Cost Recovery Criteria 

outlined in Order RA 6120.2, UGP 

developed a rate adjustment to 

demonstrate sufficient revenues will be 

collected under the Provisional Formula 

Rates to meet future obligations. The 

Revenue Requirement for P–SMBP is 

recovered by both the UGP in the P– 

SMBP—ED rates and by RM in the 

Loveland Area Projects (LAP) rate. The 

Revenue Requirement and composite 

rate for P–SMBP—ED firm power 

service is being increased using a twostep adjustment, where roughly 50 

percent of the total increase is being 

applied in step 1 (January 2025) and the 

remaining 50 percent is being applied in 

step 2 (January 2026), as indicated in 

Table 1: 

TABLE 1—COMPARISON OF EXISTING AND PROVISIONAL REVENUE REQUIREMENTS AND COMPOSITE RATE

P–SMBP firm power service 

Existing 

under 

P–SED–F14 

as of 

Jan. 1, 2023 

Provisional 

under 

P–SED–F15 

first step 

as of 

Jan. 1, 2025 1

First Step 

Percent 

Change 

Provisional 

under 

P–SED–F15 

second step 

as of 

Jan. 1, 2026 2

Second step 

percent 

change 

Total Revenue Requirement (in million $) ........................... $268.4 $288.1 7.4 $306.0 6.2 

P–SMBP—ED Composite Rate (mills/kWh) ........................ 27.91 30.00 7.5 31.87 6.2 

1Provisional values are estimates only based on using set/final Base and estimated Drought Adder components. 

2Provisional values are estimates that may change during the existing annual drought adder adjustment process. 

Firm Power Service—Existing and 

Provisional Formula Rates 

Under the existing and provisional 

rate methodology, rates for P–SMBP— 

ED firm power and firm peaking power 

services are designed to recover an 

annual Revenue Requirement that 

includes investment and replacement 

repayment (including aid to irrigation), 

interest, purchase power, O&M, and 

other expenses within the allowable 

period. The annual Revenue 

Requirement continues to be allocated 

equally between demand and energy. 

Base and Drought Adder Components 

As a part of the existing and 

provisional rate schedules, UGP 

provides for a formula-based adjustment 


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91734 Federal Register / Vol. 89, No. 224 / Wednesday, November 20, 2024 / Notices 

of the Drought Adder component, with 

an annual increase of up to 2 mills/ 

kWh. The 2 mills/kWh cap places a 

limit on the amount the Drought Adder 

component can be adjusted upward 

relative to associated drought costs 

included in the Drought Adder formula 

rate for any 1-year cycle. The Drought 

Adder component may be adjusted 

downward by any amount. Continuing 

to identify the firm power service 

Revenue Requirement using Base and 

Drought Adder components will assist 

the Regions in presenting future impacts 

of droughts, demonstrate repayment of 

drought-related costs in the PRS, and 

allow the Regions to be more responsive 

to changes caused by drought-related 

expenses. UGP will continue to charge 

and bill its customers firm power and 

firm peaking power service rates for 

energy and demand, which are the sum 

of the Base and Drought Adder 

components. 

Under Rate Schedule P–SED–F15, 

UGP will continue to identify its P– 

SMBP—ED firm power service Revenue 

Requirement using Base and Drought 

Adder components. The Base 

component is a fixed Revenue 

Requirement that includes annual O&M, 

investment and replacement repayment, 

and associated interest, Normal Timing 

Power Purchases, and transmission 

costs. UGP cannot adjust the Base 

component without a public process. 

The Drought Adder component is a 

formula-based Revenue Requirement 

that includes costs attributable to 

drought conditions in the Regions. The 

Drought Adder component includes 

costs associated with future Non-timing 

Power Purchases to meet firm power 

service contractual obligations not 

covered with available system 

generation due to a drought, previously 

incurred Deficits due to purchased 

power debt that resulted from Nontiming Power Purchases made during a 

drought, and the interest associated 

with drought-related Deficits. The 

Drought Adder component is designed 

to repay drought-related Deficits within 

10 years from the time the Deficit was 

incurred, using balloon-payment 

methodology. For example, a droughtrelated Deficit incurred in FY 2024 

would be repaid by FY 2034. 

The annual Revenue Requirement 

calculation will continue to be 

summarized by the following formula: 

Annual Revenue Requirement = Base 

Revenue Requirement + Drought Adder 

Revenue Requirement. 

Annual Drought Adder Adjustment 

Process 

The Regions review the inputs for the 

P–SMBP Base and Drought Adder 

components after the annual PRS is 

complete, generally in the first quarter 

of the calendar year. If an adjustment to 

the P–SMBP Base component is 

necessary, or if an incremental upward 

adjustment to the P–SMBP PRS Drought 

Adder component greater than the 

equivalent of 2 mills/kWh to the P– 

SMBP Composite Rate is necessary, the 

Regions will initiate a public process 

pursuant to 10 CFR part 903 prior to 

making an adjustment. 

In accordance with the approved 

annual Drought Adder adjustment 

process, the PRS Drought Adder 

component is reviewed annually in 

early summer to determine if drought 

costs differ from those projected in the 

PRS. In October, the Regions will 

determine if a change to the Drought 

Adder component is necessary, either 

incremental or decremental. Any 

incremental adjustment to the Drought 

Adder component, up to 2 mills/kWh, 

or any decremental adjustment will be 

implemented in the following January 

billing cycle. Although decremental 

adjustments to the Drought Adder 

component will occur as drought costs 

are repaid, the adjustments cannot 

result in a negative Drought Adder 

component. Implementing the Drought 

Adder component adjustment on 

January 1 of each year will help keep 

the drought-related Deficits from 

escalating as quickly, will lower the 

interest expense due to drought-related 

Deficits, will demonstrate responsible 

Deficit management, and will provide 

prompt drought-related Deficit 

repayments. 

Revenue Requirement Changes 

The Base component costs for the P– 

SMBP PRS have increased primarily 

due to increased O&M from WAPA and 

the generating agencies. 

The driver behind the P–SMBP 

Drought Adder component decrease is 

the USACE’s 2024 AOP projecting less 

than average generation, despite the 

improvement to generation as projected 

in the WAPA–203 January 2023 rates. 

Planned repayment of both the Base and 

Drought Adder Deficits are in the same 

time frame (2027) as they were projected 

to be repaid under WAPA–203. 

Uncertainties with water inflows, hydro 

generation, and replacement energy 

prices continue to pose potential risks 

regarding the ability to satisfy firm 

power contractual commitments. 

The net effect of these changes to the 

PRS Base and Drought Adder 

components results in an overall 

increase to the P–SMBP rate. To 

implement the required rate increase 

over a two-year period/in two steps, the 

Base component Revenue Requirements 

and associated charges for each step are 

set values. For the Drought Adder 

component, UGP is using estimated 

Revenue Requirements and associated 

charges for each step based on the 

USACE’s 2024 AOP and drought costs 

projected in the Rate-Setting PRS. In 

accordance with the approved annual 

drought adder adjustment process, these 

Drought Adder estimates are subject to 

change based upon updated AOPs/ 

generation models and revised drought 

costs. A comparison of the existing and 

provisional charge component Revenue 

Requirement for firm power service are 

shown in Table 2: 

TABLE 2—COMPARISON OF EXISTING AND PROVISIONAL CHARGE COMPONENT REVENUE REQUIREMENTS

P–SMBP—ED firm power service 

Existing 

under 

P–SED–F14/ 

P–SED–FP14 

as of 

Jan. 1, 2023 

(in million $) 

Provisional 

under 

P–SED–F15/ 

P–SED–FP15 

first step 

as of 

Jan. 1, 2025 1

(in million $) 

First step 

percent 

change 

Provisional 

under 

P–SED–F15/ 

P–SED–FP15 

second step 

as of 

Jan. 1, 2026 1

(in million $) 

Second step 

percent 

change 

Base Component ................................................................. $235.4 $264.5 12.4 $292.4 10.5 

Drought Adder Component .................................................. 33.0 23.6 ¥28.5 13.6 ¥42.4 

1Provisional values are estimates that may change during the existing annual Drought Adder adjustment process. 


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Federal Register / Vol. 89, No. 224 / Wednesday, November 20, 2024 / Notices 91735 

A summary of the provisional charge 

components is shown in Table 3: 

TABLE 3—SUMMARY OF TWO-STEP PROVISIONAL CHARGE COMPONENTS

Provisional charges under rate schedules 

P–SED–F15 and P–SED–FP15 

first step 

as of Jan. 1, 2025 

Provisional charges under rate 

schedules P–SED–F15 and 

P–SED–FP15 second step 

as of Jan. 1, 2026 

Base 

component 

Drought 

adder 

component 1

Total 

charge 2

Base 

component 

Drought 

adder 

component 1

Total 

charge 2

Firm Demand ($/kilowatt-month) ..................................... $6.05 $0.55 $6.60 $6.70 $0.30 $7.00 

Firm Energy (mills/kWh) .................................................. 15.21 1.34 16.55 16.80 0.80 17.60 

Firm Peaking Demand ($/kilowatt-month) ....................... $5.55 $0.50 $6.05 $6.10 $0.30 $6.40 

Firm Peaking Energy 3 (mills/kWh) .................................. 15.21 1.34 16.55 16.80 0.80 17.60 

1Provisional values are estimates that may change during the existing annual Drought Adder adjustment process. 

2Provisional values are estimates only based on using final Base and estimated Drought Adder components. 

3Firm peaking energy is normally returned. This charge will be assessed in the event firm peaking energy is not returned. 

Statement of Revenue and Related 

Expenses 

The following Table 4 provides a 

summary of the projected revenue and 

expense data for the P–SMBP firm 

power service Revenue Requirement 

through the 5-year provisional rate 

approval periods: 

BILLING CODE 6450–01–P 

BILLING CODE 6450–01–C 

Sale of Surplus Products Rate 

Discussion 

The sale of surplus products rate 

schedule is formula-based, providing for 

P–SMBP—ED Marketing Office to sell 

P–SMBP—ED surplus energy and 

demand products. If P–SMBP—ED 

surplus products are available, as 

specified in the rate schedule, the 

charge will be based on market rates 

plus administrative costs. The customer 

will be responsible for acquiring 

transmission service necessary to 

deliver the product(s) for which a 


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91736 Federal Register / Vol. 89, No. 224 / Wednesday, November 20, 2024 / Notices 

3The determination was done in compliance with 

NEPA (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). 

separate charge may be incurred. Rate 

Schedule P–SED–M2 is being 

superseded by the Provisional Rate 

Schedule P–SED–M3 and continues to 

allow for the sale of energy, frequency 

response, regulation, and reserves. 

Comments 

UGP received 23 separate oral and/or 

written comments during the public 

consultation and comment period. The 

comments expressed have been 

paraphrased and/or combined, where 

appropriate, without compromising the 

meaning of the comments: 

A. Comment: The action agency 

commented that the rate adjustment is 

a $15 million cumulative increase for 

their member communities. The 

member utilities commented that the 

rate adjustment would have increases 

ranging from $30,000 to $490,000 

annually in wholesale power supply 

costs depending on the customers’ 

Contract Rate of Delivery (CROD). 

Response: WAPA recognizes the 

magnitude of the increased rate and its 

impact on its customers. WAPA is 

committed to continuing to adapt to 

rising industry costs while also 

providing power and energy to its 

customers at the lowest cost possible. 

WAPA does not take the increase in 

costs lightly and is committed to 

continuing to find ways to limit the 

impact of increasing industry costs as 

much as possible. 

B. Comment: The customer 

association, member utilities, and action 

agency commented that they understand 

a rate increase is necessary due to 

inflation on O&M and labor costs, along 

with increased debt principal costs and 

they support and appreciate the increase 

being implemented in two steps rather 

than one large 14 percent increase. 

Response: WAPA appreciates the 

recognition of the impacts many entities 

are facing due to increasing inflation 

and labor costs, the specific costs of the 

power repayment study, and the twostep implementation for the rate 

adjustment. 

C. Comment: The customer 

association, member utilities, and the 

action agency commented that they 

have a concern with the addition of new 

Full-Time Employees (FTE) when many 

positions within WAPA remain 

unfilled. The customers encourage 

WAPA to evaluate its internal processes 

for cost control, seeking efficiencies in 

workflow and staffing. 

Response: WAPA understands the 

concern raised with the addition of new 

FTEs and the impacts of the FTEs to the 

rate. WAPA is committed to finding 

ways to limit cost increases impacting 

its customers while still ensuring it has 

the positions needed to fulfill its 

mission. 

D. Comment: The action agency 

commented that they lack an 

understanding of any compromises 

made within the budgeting process to 

meet the WAPA Administrator’s 

guidance stating tradeoffs need to be 

made. The action agency also stated 

they believe that this guidance could 

have been followed as an element of 

cost control. 

Response: WAPA appreciates the 

comment regarding the need for better 

cost control and that compromises in 

the budgeting process may be necessary 

to accomplish this effort. WAPA is 

committed to looking for ways to 

control its costs and will continue to 

communicate its funding priorities to its 

customers. 

E. Comment: The action agency and 

the customer association commented 

that they have concerns about the longterm viability of the P–SMBP going 

forward as it faces significant financial 

and operational issues in the future 

including: (1) USACE’s plan of 

rehabilitation of the Missouri River; (2) 

dam safety repairs; (3) Aid-to-Irrigation 

payments coming due; and (4) 

environmental impact issues from nonsupporting stakeholders. They also 

expressed their concern that these 

issues could result in significant future 

rate impacts to the firm power 

customers and that WAPA needs to 

focus on cost control in the future. 

Response: WAPA appreciates the 

concerns regarding the long-term 

stability and affordability of the P– 

SMBP beyond the 5-year rate window. 

WAPA is committed to continuing to 

focus on the impact of rising costs and 

to mitigate those costs when possible. 

F. Comment: The customer 

organization commented that they 

appreciate WAPA engaging with the 

customers early in the ratemaking 

process, responding to Customer 

concerns and questions. The customer 

organization also commented that they 

encourage WAPA leadership to support 

their rates and finance teams who have 

long-standing working relationships 

with the customers. 

Response: WAPA appreciates the 

comment regarding WAPA’s 

commitment to engaging with the 

Customers on the issues concerning the 

firm power rate. 

Certification of Rates 

I have certified that the Provisional 

Formula Rates for P–SMBP—ED firm 

power service under Rate Schedule P– 

SED–F15, P–SMBP—ED firm peaking 

power service under Rate Schedule P– 

SED–FP15, and P–SMBP—ED sale of 

surplus products under Rate Schedule 

P–SED–M3 are the lowest possible rates, 

consistent with sound business 

principles. The Provisional Formula 

Rates were developed following 

administrative policies and applicable 

laws. 

Availability of Information 

Information used by UGP to develop 

the Provisional Formula Rates is 

available for inspection and copying at 

the Upper Great Plains Regional Office 

located at 2900 4th Avenue North, 6th 

Floor, Billings, Montana. Many of these 

documents are also available on UGP’s 

Rates website at: www.wapa.gov/aboutwapa/regions/ugp/ugp-rates/2025-firmrate-adjustment. 

Ratemaking Procedure Requirements 

Environmental Compliance 

WAPA has determined that this 

action fits within the following 

categorical exclusions listed in 

appendix B to subpart D of 10 CFR part 

1021: B4.3 (Electric power marketing 

rate changes).3 Categorically excluded 

projects and activities do not require 

preparation of either an environmental 

impact statement or an environmental 

assessment. A copy of the categorical 

exclusion determination is available on 

WAPA’s Rates website at: 

www.wapa.gov/wp-content/uploads/ 

2024/08/Rate-order-drought-adder-andbase-component-increases-for-2025- 

and-2026-CX-08302024.pdf. 

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. 

Submission to the Federal Energy 

Regulatory Commission 

The Provisional Formula Rates herein 

confirmed, approved, and placed into 

effect on an interim basis, together with 

supporting documents, will be 

submitted to FERC for confirmation and 

final approval. 

Order 

In view of the above and under the 

authority delegated to me, I hereby 

confirm, approve, and place into effect, 

on an interim basis, Rate Order No. 

WAPA–213. The rates will remain in 

effect on an interim basis until: (1) FERC 


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Federal Register / Vol. 89, No. 224 / Wednesday, November 20, 2024 / Notices 91737 

confirms and approves them on a final 

basis; (2) subsequent rates are confirmed 

and approved; or (3) such rates are 

superseded. 

Signing Authority 

This document of the Department of 

Energy was signed on November 12, 

2024, 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. 

Signed in Washington, DC, on November 

14, 2024. 

Treena V. Garrett, 

Federal Register Liaison Officer, U.S. 

Department of Energy. 

Rate Schedule P–SED–F15 

(Supersedes Schedule P–SED–F14) 

United States Department of Energy 

Western Area Power Administration 

Upper Great Plains Region 

Pick-Sloan Missouri Basin Program— 

Eastern Division 

Firm Power Service 

(Approved Under Rate Order No. 

WAPA–213) 

Effective 

First Step: Beginning on the first day 

of the first day of the first full billing 

period beginning on or after January 1, 

2025, through December 31, 2025. 

Second Step: Beginning on January 1, 

2026, through December 31, 2029, or 

until superseded by another rate 

schedule, whichever occurs earlier. 

Available 

Within the marketing area served by 

the Eastern Division of the Pick-Sloan 

Missouri Basin Program; within 

Montana, North Dakota, South Dakota, 

Minnesota, Iowa, and Nebraska. 

Applicable 

To the power and energy delivered to 

customers as firm power service, as 

established in the contract for service. 

Character 

Alternating current, 60 hertz, three 

phase, delivered and metered at the 

voltages and points established by 

contract. 

Formula Rate and Charge Components 

Rate = Base component + Drought 

Adder component 

First step 

January 1, 2025 

monthly charges 

Second step 

January 1, 2026 

monthly charges 

Base 

component 

Drought 

adder 

component 

Total 

charge 

Base 

component 

Drought 

adder 

component 1

Total 

charge 2

Firm Demand Charge ($/kilowatt-month) ........................ $6.05 $0.55 $6.60 $6.70 $0.30 $7.00 

Firm Energy Charge (mills/kWh) ..................................... 15.21 1.34 16.55 16.80 0.80 17.60 

1Values are estimates that are subject to change during the annual Drought Adder adjustment process. 

2Values are estimates only based on final Base and estimated Drought Adder components. 

Billing Demand: The billing demand 

will be as defined by the power sales 

contract. 

Charge Components 

Base Component: A fixed revenue 

requirement that includes operation and 

maintenance expense, investments and 

replacements, interest on investments 

and replacements, normal timing 

purchase power (purchases due to 

operational constraints, not associated 

with drought), and transmission costs. 

Any provisional change to the Base 

component will require a public 

process. 

Drought Adder Component: A 

formula-based revenue requirement that 

includes future purchase power expense 

above timing purchases, previous 

purchase power drought deficits, and 

interest on the purchase power drought 

deficits. The second step revenue 

requirement is subject to change during 

the annual Drought Adder adjustment 

process starting in January 2026. 


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91738 Federal Register / Vol. 89, No. 224 / Wednesday, November 20, 2024 / Notices 

Annual Drought Adder Adjustment 

Process 

The Drought Adder may be adjusted 

annually using the above formulas for 

any costs attributed to drought of less 

than or equal to the equivalent of 2 

mills/kWh to the Power Repayment 

Study (PRS) composite rate. Any 

planned incremental upward 

adjustment to the Drought Adder greater 

than the equivalent of 2 mills/kWh to 

the PRS composite rate will require a 

public process. 

The annual review process is initiated 

in early summer when WAPA reviews 

the Drought Adder component and 

provides notice of any estimated change 

to the Drought Adder component charge 

under the formula. In October, WAPA 

will make a final determination of any 

change to the Drought Adder 

component charge, either incremental or 

decremental. If a Drought Adder 

component change is required, a 

modified Drought Adder revenue 

requirement and the associated charges 

will become effective the following 

January 1 and will be identified in a 

Drought Adder modification update. 

WAPA will inform customers of updates 

by letter and post updates to WAPA’s 

external website. 

Adjustments 

For Billing of Unauthorized Overruns: 

For each billing period in which there 

is a contract violation involving an 

unauthorized overrun of the contractual 

firm power and/or energy obligations, 

such overrun shall be billed at 10 times 

the formula rate. 

For Power Factor: None. Customers 

will be required to maintain a power 

factor at the point of delivery between 

95-percent lagging and 95-percent 

leading. 

Rate Schedule P–SED–FP15 

(Supersedes Schedule P–SED–FP14) 

United States Department of Energy 

Western Area Power Administration 

Upper Great Plains Region 

Pick-Sloan Missouri Basin Program— 

Eastern Division 

Firm Peaking Power Service 

(Approved Under Rate Order No. 

WAPA–213) 

Effective 

First Step: Beginning on the first day 

of the first day of the first full billing 

period beginning on or after January 1, 

2025, through December 31, 2025. 

Second Step: Beginning on January 1, 

2026, through December 31, 2029, or 

until superseded by another rate 

schedule, whichever occurs earlier. 

Available 

Within the marketing area served by 

the Eastern Division of the Pick-Sloan 

Missouri Basin Program; within 

Montana, North Dakota, South Dakota, 

Minnesota, Iowa, and Nebraska. 

Applicable 

To the power sold to customers as 

firm peaking power service, as 

established in the contract for service. 

Character 

Alternating current, 60 hertz, three 

phase, delivered and metered at the 

voltages and points established by 

contract. 

Formula Rate and Charge Components 

Rate = Base component + Drought 

Adder component 

First step 

January 1, 2025 

monthly charges 

Second step 

January 1, 2026 

monthly charges 

Base 

component 

Drought 

adder 

component 

Total 

charge 

Base 

component 

Drought 

adder 

component 1

Total 

charge 2

Firm Peaking Demand Charge ($/kilowatt-month) .......... $5.55 $0.50 $6.05 $6.10 $0.30 $6.40 

1Values are estimates that are subject to change during the annual Drought Adder adjustment process. 

2Values are estimates only based on final Base and estimated Drought Adder component. 

Charge Components 

Base Component: A fixed revenue 

requirement that includes operation and 

maintenance expense, investments and 

replacements, interest on investments 

and replacements, normal timing 

purchase power (purchases due to 

operational constraints, not associated 

with drought), and transmission costs. 

Any provisional change to the Base 

component will require a public 

process. 


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Federal Register / Vol. 89, No. 224 / Wednesday, November 20, 2024 / Notices 91739 

Drought Adder Component: A 

formula-based revenue requirement that 

includes future purchase power above 

timing purchases, previous purchase 

power drought deficits, and interest on 

the purchase power drought deficits. 

The second step revenue requirement is 

subject to change during the annual 

Drought Adder adjustment processes 

starting in January 2026. 

Annual Drought Adder Adjustment 

Process 

The Drought Adder may be adjusted 

annually using the above formulas for 

any costs attributed to drought of less 

than or equal to the equivalent of 2 

mills/kWh to the Power Repayment 

Study (PRS) composite rate. Any 

planned incremental upward 

adjustment to the Drought Adder greater 

than the equivalent of 2 mills/kWh to 

the PRS composite rate will require a 

public process. 

The annual review process is initiated 

in early summer when WAPA reviews 

the Drought Adder component and 

provides notice of any estimated change 

to the Drought Adder component charge 

under the formula. In October, WAPA 

will make a final determination of any 

change to the Drought Adder 

component charge, either incremental or 

decremental. If a Drought Adder 

component change is required, a 

modified Drought Adder revenue 

requirement and the associated charges 

will become effective the following 

January 1 and will be identified in a 

Drought Adder modification update. 

WAPA will inform customers of updates 

by letter and post updates to WAPA’s 

external website. 

Billing Demand 

The billing demand will be the greater 

of (1) the highest 30-minute integrated 

demand measured during the month up 

to, but not in excess of, the delivery 

obligation under the power sales 

contract, or (2) the contract rate of 

delivery. 

Adjustments 

For Billing for Unauthorized 

Overruns: For each billing period in 

which there is a contract violation 

involving an unauthorized overrun of 

the contractual obligation for peaking 

demand and/or energy, such overrun 

shall be billed at 10 times the above 

rate. 

Rate Schedule P–SED–M3 

(Supersedes Rate Schedule P–SED–M2) 

United States Department of Energy 

Western Area Power Administration 

Upper Great Plains Region 

Pick-Sloan Missouri Basin Program— 

Eastern Division 

Sale of Surplus Products 

(Approved Under Rate Order No. 

WAPA–213) 

Effective 

The first day of the first full billing 

period beginning on or after January 1, 

2025, through December 31, 2029, or 

until superseded by another rate 

schedule, whichever occurs earlier. 

Applicable 

This rate schedule applies to Eastern 

Division of the Pick-Sloan Missouri 

Basin Program marketing and is 

applicable to the sale of the following 

P–SMBP—ED surplus energy and 

capacity products: energy, frequency 

response, regulation, and reserves. If 

any P–SMBP—ED surplus energy and 

capacity products are available, UGP 

can make the product(s) available for 

sale, providing entities enter into a 

separate agreement(s) with UGP 

Marketing Office which will specify the 

terms of sale(s). 

Formula Rate 

The charge for each product is 

determined at the time of the sale based 

on market rates, plus administrative 

costs. The customer will be responsible 

for acquiring transmission services 

necessary to deliver the product(s), for 

which a separate charge may be 

incurred. 

[FR Doc. 2024–26933 Filed 11–19–24; 8:45 am] 

BILLING CODE 6450–01–P 

ENVIRONMENTAL PROTECTION 

AGENCY 

[EPA–HQ–OPPT–2024–0131; FRL–12261– 

02–OCSPP] 

Risk Management Under the Toxic 

Substances Control Act: Certain Perand Polyfluoroalkyl Substances; 

Extension of Comment Period 

AGENCY: Environmental Protection 

Agency (EPA). 

ACTION: Notice; extension of comment 

period. 

SUMMARY: The Environmental Protection 

Agency (EPA) is extending the comment 

period for the notice that published in 

the Federal Register on September 30, 

2024, seeking public comment on the 

manufacture of certain per- and 

polyfluoroalkyl substances (PFAS), 

including perfluorooctanoic acid 

(PFOA), perfluorononanoic acid 

(PFNA), and perfluorodecanoic acid 

(PFDA), during the fluorination of highdensity polyethylene (HDPE) and other 

plastic containers to inform regulations 

as appropriate under the Toxic 

Substances Control Act (TSCA). That 

notice established a public comment 

period that is scheduled to end on 

November 29, 2024. This document 

extends that comment period for 31 

days to December 30, 2024. EPA 

received a request to extend the 

comment period from an interested 

stakeholder who requested additional 

time to collect information relating to 

EPA’s notice and develop thoughtful 

responses to the issues raised in EPA’s 

notice. EPA believes it is appropriate to 

extend the comment period in order to 

give stakeholders including the 

requester additional time to identify and 

gather information related to the issues 

identified in EPA’s notice and to 

prepare comprehensive comments. 

DATES: The comment period for the 

document published on September 30, 

2024, at 89 FR 79581 (FRL–12261–01– 

OCSPP), is now extended. Comments 

must be received on or before December 

30, 2024. 

ADDRESSES: Submit your comments, 

identified by docket identification (ID) 


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