Document ID: FERC-2010-1370-0001
Agency: ferc
Document Type: Notice
Title: Revocations of Market-Based Rate Authority: Electric Quarterly Reports, BM2 LLC and DJGW, LLC
Posted Date: 2010-09-28T04:00Z

[Federal Register: September 28, 2010 (Volume 75, Number 187)]
[Notices]               
[Page 59707-59708]
From the Federal Register Online via GPO Access [wais.access.gpo.gov]
[DOCID:fr28se10-66]                         

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DEPARTMENT OF ENERGY

Federal Energy Regulatory Commission

[Docket No. ER02-2001-016; Docket No. ER06-885-000; Docket No. ER04-
289-000]

 
Electric Quarterly Reports; BM2 LLC; DJGW, LLC; Order on Intent 
To Revoke Market-Based Rate Authority

Issued September 22, 2010.
Before Commissioners: Jon Wellinghoff, Chairman; Marc Spitzer, 
Philip D. Moeller, John R. Norris, and Cheryl A. LaFleur.

    1. Section 205 of the Federal Power Act (FPA), 16 U.S.C. 824d 
(2006), and 18 CFR part 35 (2010), require, among other things, that 
all rates, terms, and conditions of jurisdictional services be filed 
with the Commission. In Order No. 2001, the Commission revised its 
public utility filing requirements and established a requirement for 
public utilities, including power marketers, to

[[Page 59708]]

file Electric Quarterly Reports summarizing the contractual terms and 
conditions in their agreements for all jurisdictional services 
(including market-based power sales, cost-based power sales, and 
transmission service) and providing transaction information (including 
rates) for short-term and long-term power sales during the most recent 
calendar quarter.\1\
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    \1\ Revised Public Utility Filing Requirements, Order No. 2001, 
FERC Stats. & Regs. ] 31,127, reh'g denied, Order No. 2001-A, 100 
FERC ] 61,074, reconsideration and clarification denied, Order No. 
2001-B, 100 FERC ] 61,342, order directing filings, Order No. 2001-
C, 101 FERC ] 61,314 (2002), order directing filings, Order No. 
2001-D, 102 FERC ] 61,334 (2003).
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    2. Commission staff's review of the Electric Quarterly Report 
submittals indicates that two utilities with authority to sell electric 
power at market-based rates have failed to file their Electric 
Quarterly Reports. This order notifies these public utilities that 
their market-based rate authorizations will be revoked unless they 
comply with the Commission's requirements within 15 days of the date of 
issuance of this order.
    3. In Order No. 2001, the Commission stated that,

    [i]f a public utility fails to file a[n] Electric Quarterly 
Report (without an appropriate request for extension), or fails to 
report an agreement in a report, that public utility may forfeit its 
market-based rate authority and may be required to file a new 
application for market-based rate authority if it wishes to resume 
making sales at market-based rates.\[2]\
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    \2\ Order No. 2001, FERC Stats & Regs. ] 31,127 at P 222.

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    4. The Commission further stated that,

    [o]nce this rule becomes effective, the requirement to comply 
with this rule will supersede the conditions in public utilities' 
market-based rate authorizations, and failure to comply with the 
requirements of this rule will subject public utilities to the same 
consequences they would face for not satisfying the conditions in 
their rate authorizations, including possible revocation of their 
authority to make wholesale power sales at market-based rates.\[3]\
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    \3\ Id. P 223.

    5. Pursuant to these requirements, the Commission has revoked the 
market-based rate tariffs of several market-based rate sellers that 
failed to submit their Electric Quarterly Reports.\4\
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    \4\ See, e.g., Electric Quarterly Reports, 75 FR 45,111 (Aug. 2, 
2010); Electric Quarterly Reports, 75 FR 19,646 (Apr. 15, 2010).
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    6. As noted above, Commission staff's review of the Electric 
Quarterly Report submittals identified two public utilities with 
authority to sell power at market-based rates that failed to file 
Electric Quarterly Reports in the first and second quarters of 2010. 
Commission staff contacted these entities to remind them of their 
regulatory obligations.\5\
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    \5\ See BM2 LLC, Docket No. ER06-885-000 (August 2, 2010) 
(unpublished letter order); DJGW, LLC, Docket No. ER04-289-000 
(August 2, 2010) (unpublished letter order).
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    The two public utilities listed in the caption of this order have 
not met these obligations.\6\ Accordingly, this order notifies these 
public utilities that their market-based rate authorizations will be 
revoked unless they comply with the Commission's requirements within 15 
days of the issuance of this order.
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    \6\ According to the Commission's records, the companies subject 
to this order failed to file their Electric Quarterly Reports for 
the 1st and 2nd quarters of 2010.
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    7. In the event that the above-captioned market-based rate sellers 
have already filed its Electric Quarterly Report in compliance with the 
Commission's requirements, its inclusion herein is inadvertent. Such 
market-based rate seller is directed, within 15 days of the date of 
issuance of this order, to make a filing with the Commission 
identifying itself and providing details about its prior filings that 
establish that it complied with the Commission's Electric Quarterly 
Report filing requirements.
    8. If the above-captioned market-based rate sellers do not wish to 
continue having market-based rate authority, they may file a notice of 
cancellation with the Commission pursuant to section 205 of the FPA to 
cancel their market-based rate tariff.
    The Commission orders:
    (A) Within 15 days of the date of issuance of this order, each 
public utility listed in the caption of this order shall file with the 
Commission all delinquent Electric Quarterly Reports. If a public 
utility fails to make this filing, the Commission will revoke that 
public utility's authority to sell power at market-based rates and will 
terminate its electric market-based rate tariff. The Secretary is 
hereby directed, upon expiration of the filing deadline in this order, 
to promptly issue a notice, effective on the date of issuance, listing 
the public utilities whose tariffs have been revoked for failure to 
comply with the requirements of this order and the Commission's 
Electric Quarterly Report filing requirements.
    (B) The Secretary is hereby directed to publish this order in the 
Federal Register.

    By the Commission.
Kimberly D. Bose,
Secretary.
[FR Doc. 2010-24293 Filed 9-27-10; 8:45 am]
BILLING CODE 6717-01-P