34432 Federal Register / Vol. 61, No. 128 / Tuesday, July 2, 1996 / Notices

[Project No. 2705–003 Washington]

Seattle City Light; Notice of Availability

of Draft Environmental Assessment

June 26, 1996.

In accordance with the National

Environmental Policy Act of 1969 and

the Federal Energy Regulatory

Commission’s (Commission)

Regulations, 18 CFR Part 380 (Order No.

486, 52 FR 47897), the Office of

Hydropower Licensing has reviewed the

application for a new license for the

existing Newhalem Creek Hydroelectric

Project, and has prepared a Draft

Environmental Assessment (DEA) for

the project. The project is located on

Newhalem Creek, a tributary of the

Skagit River, near the town of

Newhalem, in northern Washington.

In the DEA, the Commission’s staff

has analyzed the potential

environmental impacts of the project

and has concluded that approval of the

project, with appropriate environmental

protective measures, would not

constitute a major federal action that

would significantly affect the quality of

the human environment.

Copies of the DEA are available for

review in the Public Reference Branch,

Room 2A, of the Commission’s offices at

888 First Street, NE., Washington, D.C.

20426.

Any comments should be filed within

45 days from the date of this notice and

should be addressed to Lois D. Cashell,

Secretary, Federal Energy Regulatory

Commission, 888 First Street NE.,

Washington, D.C. 20426. For further

information, contact Mr. John Costello,

Environmental Coordinator, at (202)

219–2914.

Lois D. Cashell,

Secretary.

[FR Doc. 96–16815 Filed 7–1–96; 8:45 am]

BILLING CODE 6717–01–M

Southwestern Power Administration

Integrated System Power Rates—

Proposed Extension

AGENCY: Southwestern Power

Administration, DOE.

ACTION: Notice of public review and

comment.

SUMMARY: The Current Integrated

System rates were approved by the

Federal Energy Regulatory Commission

(FERC) on September 18, 1991, Docket

No. EF91–4011–000. These rates were

effective October 1, 1990, through

September 30, 1994. These rates were

extended on an interim basis by the

Deputy Secretary of Energy through

September 30, 1996. The Administrator,

Southwestern, has prepared Current and

Revised 1996 Power Repayment Studies

for the Integrated System which show

the need for a minor rate adjustment of

$1,239,868 (1.3 percent increase) in

annual revenues. In accordance with

Southwestern’s rate adjustment

threshold, dated June 23, 1987, the

Administrator, Southwestern, may

determine, on a case by case basis, that

for a revenue decrease or increase in the

magnitude of plus-or-minus two

percent, deferral of a formal rate filing

is in the best interest of the Government.

Also, the Deputy Secretary of Energy

has the authority to extend rates,

previously confirmed and approved by

FERC, on an interim basis, pursuant to

10 CFR 903.22(h) and 902.23(a)(3). In

accordance with DOE rate extension

authority and Southwestern’s rate

adjustment threshold, the Administrator

is proposing that the rate adjustment be

deferred and that the current rates be

extended for a one-year period effective

through September 30, 1997.

DATES: Written comments are due on or

before July 17, 1996.

ADDRESSES: Written comments should

be submitted to the Administrator,

Southwestern Power Administration,

U.S. Department of Energy, P.O. Box

1619, Tulsa, Oklahoma 74101.

FOR FURTHER INFORMATION CONTACT:

George C. Grisaffe, Assistant

Administrator, Office of Administration

and Rates, Southwestern Power

Administration, Department of Energy,

PO Box 1619, Tulsa, Oklahoma 74101,

(918) 595–6628.

SUPPLEMENTARY INFORMATION: The U.S.

Department of Energy was created by an

Act of the U.S. Congress, Department of

Energy Organization Act, Pub. L. 95–91,

dated August 4, 1977, and

Southwestern’s power marketing

activities were transferred from the

Department of the Interior to the

Department of Energy, effective October

1, 1977.

Southwestern markets power from 24

multiple-purpose reservoir projects with

power facilities constructed and

operated by the U.S. Army Corps of

Engineers. These projects are located in

the States of Arkansas, Missouri,

Oklahoma and Texas. Southwestern’s

marketing area includes these states

plus Kansas and Louisiana. Of the total,

22 projects comprise an Integrated

System and are interconnected through

Southwestern’s transmission system and

exchange agreements with other

utilities. The other two projects (Sam

Rayburn and Robert Douglas Willis) are

not interconnected with Southwestern’s

Integrated System. Instead, their power

is marketed under separate contracts

through which two customers purchase

the entire power output of each of the

projects at the dams.

Following Department of Energy

Order Number RA 6120.2, the

Administrator, Southwestern, prepared

a 1996 Current Power Repayment Study

(PRS) using existing Integrated System

rate schedules. The PRS shows the

cumulative amortization through FY

1995 at $355,572,353 on a total

investment of $982,272,106. The FY

1996 Revised PRS indicates the need for

an increase in annual revenues of

$1,239,868, or 1.3 percent, over and

above the present annual revenues.

As a matter of practice, Southwestern

would defer an indicated rate

adjustment that falls within

Southwestern’s plus-or-minus two

percent rate adjustment threshold. The

threshold was developed to add

efficiency to the process of maintaining

adequate rates and is consistent with

cost recovery criteria within DOE Order

Number RA 6120.2 regarding rate

adjustment plans. The Integrated

System’s FY 1995 (last year’s) PRS

concluded that the annual revenues

needed to be increased by 1.1 percent.

At that time, it was determined prudent

to defer the increase in accordance with

the established threshold and extend the

rates on an interim basis for one year.

It once again seems prudent to defer this

rate adjustment of 1.3 percent, or

$1,239,868 per year in accordance with

Southwestern’s rate adjustment

threshold and reevaluate the ability of

the existing rate to provide sufficient

revenues to satisfy costs projected in the

FY 1997 (next year’s) PRS.

On September 18, 1991, the current

rate schedules for the Integrated System

were confirmed and approved by the

FERC on a final basis for a period that

ended on September 30, 1994. In

accordance with 10 CFR Sections

903.22(h) and 903.23(a)(3), the Deputy

Secretary may extend existing rates on

an interim basis beyond the period

specified by the FERC.

On September 19, 1994, and August 8,

1995, the Deputy Secretary approved

extensions of the Integrated System

power rates on an interim basis for the

periods October 1, 1994, through

September 30, 1995, and October 1,

1995, through September 30, 1996. As a

result of the benefits obtained by a rate

adjustment deferral (reduced Federal

expense and rate stability) and the

Deputy Secretary’s authority to extend a

previously approved rate,

Southwestern’s Administrator is

proposing to again extend the current

Integrated System rate schedules for the

one-year period beginning October 1,
Federal Register / Vol. 61, No. 128 / Tuesday, July 2, 1996 / Notices 34433

1996, and extending through September

30, 1997.

Opportunity is presented for

customers and interested parties to

receive copies of the study data for the

Integrated System. If you desire a copy

of the Repayment Study Data Package

for the Integrated System, please submit

your request to: Mr. George Grisaffe,

Assistant Administrator, Office of

Administration and Rates, PO Box 1619,

Tulsa, OK 74101, or call (918) 595–

6628.

Following review of the written

comments, the Administrator will

submit the rate extension proposal for

the Integrated System to the Deputy

Secretary of Energy for confirmation and

approval.

Issued in Tulsa, Oklahoma, this 21st day of

June, 1996.

Michael A. Deihl,

Administrator.

[FR Doc. 96–16846 Filed 7–1–96; 8:45 am]

BILLING CODE 6450–01–P

Western Area Power Administration

Replacement Resources Methods

Report, Grand Canyon Protection Act

of 1992

AGENCY: Western Area Power

Administration (Western), DOE.

ACTION: Notice of availability, meetings,

and comments.

SUMMARY: Western has been engaged in

a process to identify economically and

technically feasible methods for

replacing power resources which will be

lost due to long-term, operational

constraints at Glen Canyon Dam. This

process will conclude with a report of

the findings to Congress as required by

the Grand Canyon Protection Act (GCP

Act) of 1992, Title XVIII of Pub. L. 102–

575. Section 1809 of the GCP Act

requires the Secretary of Energy to

consult with representatives of the

Colorado River Storage Project (CRSP)

power customers, environmental

organizations, and the Colorado River

Basin States and with the Secretary of

the Interior in this process. The

Secretary of Energy, acting through

Western, has the responsibility of

marketing power generated from Glen

Canyon Dam and other CRSP power

facilities, including power acquired by

Western to replace the power lost due

to operational changes at Glen Canyon

Dam.

Western published a notice initiating

the formal, public consultation process

in the Federal Register on August 8,

1994 (59 FR 40357). An October 7, 1994,

Federal Register notice (59 FR 51191)

by Western announced four regional

public consultation meetings. A 20-

page, Replacement Resources

Information Packet was prepared that

included Western’s proposed process to

complete the method identification

requirement of the GCP Act. On October

20, 1994, this information packet, along

with the text of the October Federal

Register notice, was mailed to

approximately 900 entities and

individuals on Western’s Replacement

Resources Process mailing list. In

November 1994, four regional public

involvement meetings were held in Salt

Lake City, Utah; Denver, Colorado;

Phoenix, Arizona; and Albuquerque,

New Mexico. Public comments were

received on the proposed process

through December 19, 1994, the

comment deadline. Newsletters that

provided updates on the status of

replacement resources activities were

prepared by Western in February and

October 1995. These newsletters were

distributed to Western’s mailing list. On

April 30, 1996, at Western’s CRSP

Customer Service Center’s Annual

Customer Meeting in Salt Lake City,

Western provided an update on

replacement resources activities to

CRSP power customers and to Bureau of

Reclamation (Reclamation)

representatives. This update included a

discussion by Western of earlier public

comment.

DATES: Western now announces the

availability of the Draft Replacement

Resources Methods Report (Draft

Methods Report). Western is also

seeking comments on the Draft

Replacement Resources Methods

Report. To be considered, comments

need to be received by September

3,1996. In addition, Western will hold

four public meetings to provide

information and to accept public

comment on the proposed methods

included in this report. Public

consultation meetings will be held:

July 23, 1996: Albuquerque, New

Mexico, Courtyard Marriott Hotel,

1920 Yale Boulevard, SE., 9 a.m. to

noon

July 24, 1996: Phoenix, Arizona,

Embassy Suites Hotel, 3210 NW.,

Grand Avenue, at 9 a.m. to noon

July 25, 1996: Denver, Colorado, Denver

West Marriott, 1717 Denver West

Boulevard, 9 a.m. to noon

July 29, 1996: Salt Lake City, Utah,

Doubletree Hotel, 215 South Temple,

8:30 a.m. to 11:30 a.m.

Background

The Replacement Resources Methods

Report identifies economic and

technically feasible methods to replace

capacity made unavailable (‘‘or lost’’)

due to operational constraints. The

report also includes a ‘‘proof-ofconcept’’ analysis of five hypothetical

resource options with varying degrees of

complexity. The methods considered

are consistent with other Western

resource acquisition policies, such as

Western’s Principles of Integrated

Resource Planning (IRP) and its

Purchase Power Policy. The methods

would also be consistent with the

pending Salt Lake City Area/ Integrated

Projects (SLCA/IP) Contract

Amendment, the Records of Decision in

Western’s SLCA/IP Electric Power

Marketing Environmental Impact

Statement (EIS) and Energy Planning

and Management Program,

Reclamation’s Glen Canyon Dam EIS,

pertinent Federal Energy Regulatory

Commission orders, and laws affecting

DOE, Western, and CRSP.

In the Draft Methods Report, Western

evaluates methods to replace capacity

made unavailable (‘‘or lost’’) due to

operational constraints using spot

market, seasonal (6 months), and midto long-term (1 year or more, up to the

end of the contract term) resource

acquisitions. Western would consult

with firm power customers periodically

about the amount and term of resource

acquisitions to be made on their behalf,

which Western could then acquire and

deliver to them. Greater public

involvement and more complex

evaluation procedures and acquisition

methods would be used for long-term

acquisitions rather than for seasonal

acquisitions, consistent with Western’s

Purchase Power Policy.

Western proposes to use a screening

tool and a production cost computer

model to evaluate future resource offers

from potential suppliers. The Draft

Methods Report details how these

evaluation tools are applied to evaluate

five hypothetical resource purchases.

These resource alternatives were

designed to illustrate the screening and

evaluation tool’s abilities to evaluate

and select from among many diverse

replacement resource options and to

consider transmission system

constraints and possible solutions. The

Draft Methods Report concludes that the

screening criteria and evaluation tools

developed will enable Western to

identify economically and technically

feasible replacement power resources in

the future.

Further Information

To provide written comments on the

Draft Replacement Resources Methods

Report, contact: Mr. Jeffrey McCoy,

Resource Analysis Team Lead, CRSP

Customer Service Center, Western Area